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Excess capacity adjustments Western Gas & Electric Co . ( WG&E ) currently has $ 6 4 5 , 0 0 0 in total assets

Excess capacity adjustments
Western Gas & Electric Co.(WG&E) currently has $645,000 in total assets and sales of $1,720,000. Half of WG&E's total assets come from net fixed
assets, and the rest are current assets. The firm expects sales to grow by 21% in the next year. According to the AFN equation, the amount of
additional assets required to support this level of sales is
.(Note: Round your answer to the nearest whole number.)
WG&E was using its fixed assets at only 93% of capacity last year. How much sales could the firm have supported last year with its current level of
fixed assets? (Note: Round your answer to the nearest whole number.)
$1,572,043
$2,034,408
$1,849,462
$1,941,935
When you consider that WG&E's fixed assets were being underused, its target fixed assets to sales ratio should be
answer to two decimal places.)
When you consider that WG&E's fixed assets were being underused, how much fixed assets must WG&E raise to support its expected sales for next
year? (Note: Round your answer to the nearest whole number.)
$40,409
$42,429
$44,450
$34,348
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