Question: Water and Power Co . ( W&P ) currently has $ 5 4 0 , 0 0 0 in total assets and sales of $

Water and Power Co.(W&P) currently has $540,000 in total assets and sales of $1,550,000. Half of W&P's total assets come from net fixed assets, and the rest are current assets. The firm expects sales to grow by 18% 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.)
W&P was using its fixed assets at only 96% 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.)
$1,372,396
$1,856,770
$1,614,583
$1,533,854
When you consider that W&P's fixed assets were being underused, its target fixed assets to sales ratio should be %.(Note: Round your answer to two decimal places.)
When you consider that W&P's fixed assets were being underused, how much fixed assets must W&P raise to support its expected sales for next year?
(Note: Round your answer to the nearest whole number.)
$35,856
$30,478
$34,063
$41,234
 Water and Power Co.(W&P) currently has $540,000 in total assets and

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