Besnier Company had $250 million of sales last year, and it had $75 million of fixed assets that were being operated at 80% of capacity In millions, how large could sales have been if the company had operated at full capacity?

Question

Quizplus · Accepted Answer

To find the full capacity sales, divide the actual sales by the percentage of capacity used: $250 million / 0.8 = $312.5 million.

Besnier Company Had $250 Million of Sales Last Year, and It