How large of an increase in fixed assets will company need

Reference no: EM13287626

Seattle Coffee has

$4 billion in sales
$1.6 billion in fixed assets
The company's fixed assets are operating at 90% of capacity.

1. What level of sales could Seattle Coffee have obtained if it had been operating at full capacity? Round your answer to the nearest cent.

$___________________

2. What is Seattle Coffee's target fixed assets/Sales ratio? Round your answer to two decimal places.

36% CORRECT

3. If Seattle Coffee's sales increase 12%, how large of an increase in fixed assets will the company need to meet its Target fixed assets/Sales ratio? Round your answer to the nearest cent.

Reference no: EM13287626

Questions Cloud

What is the company target debt-equity ratio : If Fa Ma issued newsecurities in the same proportion as its target capital structure, what is the company's target debt-equity ratio?

Estimate how long bus signal remains at a valid logic level : ON a three-state bus, ten FCT three-state buffers are driving ten FCT inputs and a 4.7kΩ pull-up resistor to 5V. Assuming that no other devices are driving the bus, estimate how long the bus signal remains at a valid logic level

What is the cars vertical velocity magnitude : At a constant speed of 55 km/h , an automobile travels 600m along a straight highway that is inclined 5.0 degrees to the horizontal. What is the cars vertical velocity magnitude

Find the increase in the internal energy of the neon : Suppose a tank contains 770 m3 of neon (Ne) at an absolute pressure of 1.01×105 Pa. What is the increase in the internal energy of the neon

How large of an increase in fixed assets will company need : What level of sales could Seattle Coffee have obtained if it had been operating at full capacity? Round your answer to the nearest cent.

Explain how much cash would be freed-up : If Stone Rock could lower its inventories and receivables by 9% each and increase its payables by 9%, all without affecting sales or cost of goods sold.

Estimate how long it takes for the fct inputs to see output : An FCT three-state buffer drives ten FCT inputs and a 4.7kΩ pull-up resistor to 5V. When the output changes from LOW to Hi-Z, estimate how long it takes for the FCT inputs to see the output as HIGH.

What is the tension in the rope connecting the two boxes : Two boxes with different masses M1 = 0.7 kg and M2 = 2.3 kg are tied together on a frictionless ramp surface, What is the tension in the rope connecting the two boxes

What will be the overall power dissipation of the flip-flops : A circuit contains two flip-flops connected to a voltage source of +10 Volts, each flip-flop draws a current of 10 mA during its operation, if we neglect the power dissipation of the remaining circuit

User Account

All Pages