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Marco's Has Current Annual Sales of $52,600, Net Fixed Assets

Question 52

Multiple Choice

Marco's has current annual sales of $52,600, net fixed assets of $38,900, and total assets of $56,300. The firm is currently operating at 79 percent of capacity. What is the capital intensity ratio at full capacity?


A) 1.18
B) 1.10
C) 0.96
D) 0.91
E) 0.85

Correct Answer:

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