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Dawson Metals Is Currently Operating at 94% of Its Capacity

Question 7

Multiple Choice

Dawson Metals is currently operating at 94% of its capacity and has sales of $3.1 million and fixed assets of $2.8 million. How much should the firm budget for fixed asset purchases if sales are projected to increase by 9% next year?


A) $0
B) $68,880
C) $43,616
D) $98,407

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