Miller Bros. Hardware is operating at full capacity with a sales level of $689,700 and fixed assets of $468,000. The profit margin is 7 percent. What is the required addition to fixed assets if sales are to increase by 10 percent?

A. $3,276
B. $4,680
C. $28,400
D. $32,760
E. $46,800

Ans: E. $46,800

Business

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