Last year National Aeronautics had a FA/Sales ratio of 40%,

Last year National Aeronautics had a FA/Sales ratio of 40%,

Last year National Aeronautics had a FA/Sales ratio of 40%, comprised of $250 million of sales and $… Show more Last year National Aeronautics had a FA/Sales ratio of 40%, comprised of $250 million of sales and $100 million of fixed assets. However, its fixed assets were used at only 40% 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 FA/Sales ratio should the company set? Select the correct answer. a. 15.0% b. 14.5% c. 15.5% d. 16.5% e. 16.0% • Show less

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