Condensed Year 1 financial statement for Trevor Corporation are presented below. Trevor consistently pays dividends equal to 20% of net income. Sales are proportionate to costs and assets but not to debt and equity. Income Statement Yr 1 Balance Sheet (end of yr 1) Sales 12000 Current Assets 10000 Total Debt 10000 Costs 7000 Fixed Assets Total Equity EBIT 5000 Total Assets 30000 Total D&E Interest Expense 500 Taxable income 4500 Income Tax (20%) 900 Net Income 3600 Assume that Trevor was operating at only 75% of capacity in year 1. How much can Trevor's sales increase before it will need to add additional fixed assets? e. $6,000 O d. $8,000 c. $2,000 b. $0 a. $4,000