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Edney manufacturing company has $5 billion in sales and $0.6 billion in fixed assets. Currently, the...

Edney manufacturing company has $5 billion in sales and $0.6 billion in fixed assets. Currently, the company’s fixed assets are operating at 70% of capacity. a. what level of sales could Edney have obtained if it had been operating at full capacity? b. If Edney’s sales increase 30%, how large of an increase in fixed assets will the company need to meet its Target fixed assets/ sales ratio?

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