5. Excess capacity adjustments Aa Aa E Western Gas & Electric Co. (WG&E) currently has $575,000 in total assets and sales of $1,550,000. 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 20% in the next year. According to the AFN equation, the amount of additional assets required to support this level of sales is WG&E was using its fixed assets at only 94% of capacity last year. How much sales could the firm have supported last year with its current level of fixed assets? $1,401,596 $1,978,723 $1,484,042 $1,648,936 When you consider that WG&E's fixed assets were being underused, its target fixed assets to sales ratio should be 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? O O O $44,160 $34,960 $36,800 $29,440