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Berdi Manufacturing Company has 2 billion in sales and 0.6 billion in fixed assets. Currently, the companys fixed assets are operating at 80% of capacity.

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

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