Chemicals Inc. currently has $490,000 in total assets and sales of $1,790,000. Half of Osato’s total assets come

Chemicals Inc. currently has $490,000 in total assets and sales of $1,790,000. Half of Osato’s total assets come

 

answer:

Target fixed assets to sales ratio = 1924731/245000 = 7.856

Fixed assets need to raise = ( expected sales / target fixed assets to sales ratio) – existing fixed assets

= [1790000*(1+18%)/ 7.856]- 245000

= 23863 ans is d

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