1) Monk Consortium Corp. (Monk-Con) had sales of $1,820,000 last year on fixed assets of $380,000. Given...
Question:
1) Monk Consortium Corp. (Monk-Con) had sales of $1,820,000 last year on fixed assets of $380,000. Given that Monk-Con's fixed assets were being used at only 96% of capacity, then the firm's fixed asset turnover ratio was____________. (Note: Round your answer to two decimal places.)
2) How much sales could Monk Consortium Corp. (Monk-Con) have supported with its current level of fixed assets? (Note: Round your answer to the nearest whole number.)
$1,801,041
$1,990,625
$1,895,833
$2,275,000
3) When you consider that Monk-Con's fixed assets were being underused, what should be the firm's target fixed assets to sales ratio? (Note: Round your answer to two decimal places.)
21.04%
19.04%
20.04%
24.05%
4) Suppose Monk-Con is forecasting sales growth of 22% for this year. If existing and new fixed assets are used at 100% capacity, the firm's expected fixed-assets turnover ratio for this year is ___________ .(Note: Round your answer to two decimal places.)