Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

eBook Williamson Industries has $7 billion in sales and $2.413 billion in fixed assets. Currently, the company's fixed assets are operating at 95% of capacity.

eBook

Williamson Industries has $7 billion in sales and $2.413 billion in fixed assets. Currently, the company's fixed assets are operating at 95% of capacity.

  1. What level of sales could Williamson Industries have obtained if it had been operating at full capacity? Enter your answer in billions of dollars. Round your answer to five decimal places. $ billion
  2. What is Williamson's target fixed assets/sales ratio? Do not round intermediate calculations. Round your answer to two decimal places. %
  3. If Williamson's sales increase 9%, 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. $ billion

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Empirical Techniques In Finance

Authors: Ramaprasad Bhar, Shigeyuki Hamori

1st Edition

3642064175, 978-3642064173

More Books

Students also viewed these Finance questions

Question

What do readers look for in the last paragraph of a letter?

Answered: 1 week ago

Question

=+ Identify the ethical dilemma in this scenario.

Answered: 1 week ago