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Author Question: Suppose a firm has net income of $12,000 on sales of $60,000, fixed assets of $94,000, and total ... (Read 40 times)

connormoss

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Question 1

Last year, Wei Guan Inc. had $490 million of sales, and it had $350 million of fixed assets that were used at 72% of capacity. In millions, by how much could Wei Guan’s sales increase before it is required to increase its fixed assets?

$179.04


$182.21


$187.35


$190.56



Question 2

Suppose a firm has net income of $12,000 on sales of $60,000, fixed assets of $94,000, and total assets of $120,000. The firm retains 60% of its earnings. If the firm is operating at 75% capacity, what are the full capacity sales?

$70,000


$73,000


$78,000


$80,000



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Marked as best answer by connormoss on Aug 7, 2023

xinyifff

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connormoss

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Reply 2 on: Aug 7, 2023
Excellent


Dinolord

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Reply 3 on: Yesterday
Wow, this really help

 

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