Check my workCheck My Work button is now disabledItem 17 MC Qu. 4-A11 Major Manuscripts, Inc. is currently operating at ... Major Manuscripts, Inc. 2012 Income Statement Net sales $ 8,000 Cost of goods sold 7,000 Depreciation 250 Earnings before interest and taxes $ 750 Interest paid 76 Taxable Income $ 674 Taxes 250 Net income $ 424 Dividends $ 182 Major Manuscripts, Inc. 2012 Balance Sheet 2012 2012 Cash $ 2,360 Accounts payable $ 1,930 Accounts rec. 900 Long-term debt 250 Inventory 2,500 Common stock $ 2,400 Total $ 5,760 Retained earnings 4,520 Net fixed assets 3,340 Total assets $ 9,100 Total liabilities & equity $ 9,100 Major Manuscripts, Inc., is currently operating at 70 percent of capacity. All costs and net working capital vary directly with sales. The tax rate, the profit margin, and the dividend payout ratio will remain constant. How much additional debt is required if no new equity is raised and sales are projected to increase by 10 percent?