Ch 16: Assignment - Financial Planning and Forecasting 3. Excess capacity adjustments Newtown Propane had sales of $1,820,000 last year on fixed assets of $345,000. Given that Newtown's fixed assets were being used at only 96% of capacity, then the firm's fixed asset turnover ratio was How much sales could Newtown Propane have supported with its current level of fixed assets? $2,180,208 $2,275,000 $1,990,625 $1,895,833 When you consider that Newtown's fixed assets were being underused, what should be the firm's target fixed assets to sales ratio? 21.84% 18.20% 19.11% 20.93% Suppose Newtown is forecasting sales growth of 18% for this year. If existing and new fixed assets are used at 100% capacity, the firm's expected fixed assets turnover ratio for this year is