Takahashi Manufacturing had $350 million in sales last year with $275 million in fixed assets that were used at 80% of capacity. In millions, by how much could Takahashi's sales increase before it is required to increase its fixed assets?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter3: Evaluation Of Financial Performance
Section: Chapter Questions
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Takahashi Manufacturing had $350 million in sales last year with
$275 million in fixed assets that were used at 80% of capacity. In
millions, by how much could Takahashi's sales increase before it is
required to increase its fixed assets?
Transcribed Image Text:Takahashi Manufacturing had $350 million in sales last year with $275 million in fixed assets that were used at 80% of capacity. In millions, by how much could Takahashi's sales increase before it is required to increase its fixed assets?
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