What is the formula for calculating the full-capacity sales of a firm??
A. ?Full-capacity sales = Existing sales level ÷ Percent of capacity used to generate existing sales level
B. ?Full-capacity sales = Future sales level ÷ (1 - Percent of capacity used to generate future sales level)
C. ?Full-capacity sales = Existing sales level ÷ Percent of capacity used to generate future sales level
D. ?Full-capacity sales = Future sales level ÷ (1 + Percent of capacity used to generate existing level of assets)
E. ?Full-capacity sales = Existing sales level ÷ (1 - Percent of capacity used to generate future level of assets)
Answer: A
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