EXCESS CAPACITY Krogh Lumber's 2016 financial statements are shown here Krogh Lumber: Balance Sheet as of December 31, 2016 (Thousands of Dollars) $7,200 3,472 2,520 $13,192 5,000 2,000 26,608 $46,800 Cash Receivables Inventories Total current assets $1,800 10,800 12,600 $25,200 Accounts payable Notes payable Accrued liabilities Total current liabilities Mortgage bonds Common stock Retained earnings Total liabilities and equity Net fixed assets 21,600 Total assets $46,800 Krogh Lumber: Income Statement for December 31, 2016 (Thousands of Dollars) Sales Operating costs including depreciation Earnings before interest and taxes Interest Earnings before taxes Taxes (40%) Net income Dividends (60%) Addition to retained earnings $36,000 30,783 $5,217 1,017 $4,200 1,680 $2,520 $1,512 $1,008 a. Assume that the company was operating at full capacity in 2016 with regard to all items except fixed assets; fixed assets in 2016 were being utilized to only 78% of capacity. By what percentage could 2017 sales increase over 2016 sales without the need for an increase in fixed assets? Round your answer to two decimal places