The table given below summarizes the 2019 income statement and end-year balance sheet of Drakes Bowling Alleys. Drakes financial manager forecasts a 10% increase in sales and costs in 2020. The ratio of sales to average assets is expected to remain at 0.40. Interest is forecasted at 5% of debt at the start of the year.

Income Statement
$ in thousands
Sales	$	3,000	(40% of average assets)a
Costs		2,250	(75% of sales)
Interest		125	(5% of debt at start of year)b
Pretax profit		625
Tax		250	(40% of pretax profit)
Net income	$	375

^aAssets at the end of 2018 were $7,200,000.

^bDebt at the end of 2018 was $2,500,000.

Balance Sheet
$ in thousands
Net assets	$	7,800		Debt	$	2,500
				Equity		5,300
Total	$	7,800		Total	$	7,800

a. What is the implied level of assets at the end of 2020? (Enter your answer in dollars not in thousands.)

b. If the company pays out 50% of net income as dividends, how much cash will Drake need to raise in the capital markets in 2020? Assumes debt remains constant. (Enter your answer in dollars not in thousands.)

c. If Drake is unwilling to make an equity issue, what will be the debt ratio at the end of 2020?