Last year stokes technologies had $350 million of sales and $150 million of fixed assets, so its fixed assets/sales ratio was 42.86%. however, its fixed assets were used at only 75% of capacity. now the company is developing its financial forecast for the coming year. as part of that process, the company wants to set its target fixed assets/sales ratio at the level it would have had had it been operating at full capacity. what target fixed assets/sales ratio should the company set? show your calculations, if any, and explain your answer.

0.3215 or 32.15%

Step-by-step explanation:

Data provided in the question:

Sales by Stokes Technologies = $350 million

fixed assets = $150 million

Fixed Assets/Sales ratio = 42.86%

capacity = 75%

Now,

Sales at full capacity =

or

Sales at full capacity =

or

Sales at full capacity =

or

Sales at full capacity = $466.67 million

Thus,

Fixed Assets/Sales ratio =

or

Fixed Assets/Sales ratio =

or

Fixed Assets/Sales ratio = 0.3214

or

= 0.3214 × 100% = 32.14%

answer: a. 74

step-by-step explanation:

it shows divided evenly, so add the 37+37 = 74

a

step-by-step explanation: