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5. Problem 17.05 (Excess Capacity) ellook Williamson Industries has $3 billion in sales and $2.444 billion in fixed assets. Currently, the company's fixed assets are

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5. Problem 17.05 (Excess Capacity) ellook Williamson Industries has $3 billion in sales and $2.444 billion in fixed assets. Currently, the company's fixed assets are operating at 95% of capacity aWhat level of sales could Williamson Industries have obtained if it had been operating at Pull capacity? Enter your answer in billions of dollars. Round your answer to five decimal places billion b. What is Williamson's target fixed assets/sales ratio? Do not round intermediate calculations, Round your answer to two decimal places c. If Williamson's sales increase 12%, how large of an increase in fixed assets will the company need to meet its target fixed assets/sales ratio? Enter your answer in billions of dollars. Negative value should be indicated by a minus sign. Do not round Intermediate calculations, Round your answer to five decimal places 5 billion 6. Problem 17.07 (Pro Forma Income Statement) eBook At the end of last year, Roberts Inc. reported the following income statement (in Millions of dollars)? Sales $3,000 Operating costs excluding depreciation 2.450 EBITDA $550 Depreciation 250 EBIT $300 Interest 124 EBT $176 Taxes (259) 44 Net Income $132 Looking ahead to the following year, the company's cho has assembled this information: Year end sales are expected to be 15% higher than the $3 billion in sales generated last year Year and operating costs, excluding depreciation, are expected to equal 65% of year-end sales Depreciation is expected to increase at the same rate as sales Interest costs are expected to remain unchanged. The tax rate is expected to remain at 255 On the basis of that information, what will be the forecast for Roberts' year-end net income Enter your answer in millions. For example, an answer of $25,400,000 should be entered as 25.40. Do not round Intermediate calculations, Round your answer to two decimal places million

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