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What is edney’s target fixed assets sales ratio

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Edney Manufacturing Company has $2 billion in sales and $0.6 billion in fixed assets. Currently, the company’s fixed assets are operating at 80% of capacity.
a. What level of sales could Edney have obtained if it had been operating at full capacity?
b. What is Edney’s Target fixed assets/Sales ratio?
c. If Edney’s sales increase 30%, how large of an increase in fixed assets will the company need to meet its Target fixed assets/Sales ratio?

Reference no: EM131106485

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