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Homework answers / question archive / A firm has a net income of $8 on sales of $40 with total assets of $90 including fixed assets of $75

A firm has a net income of $8 on sales of $40 with total assets of $90 including fixed assets of $75

Finance

A firm has a net income of $8 on sales of $40 with total assets of $90 including fixed assets of $75. Having a retention ratio of 50 percent, if the firm is now operating at 80 percent capacity, what are the maximum sales at full capacity?

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