Astro Company sold $23,000$ units of its only product and reported income of $$264,600$ for the current year. During a planning session for next year$$s activities, the production manager notes that variable costs can be reduced $44\%$ by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $$156,000.$ Total units sold and the selling price per unit will not change.

ASTRO COMPANY

Contribution Margin Income Statement

For Year Ended December $31$

Sales $($$$56$ per unit$)$ $ $1,288,000$

Variable costs $($$$35$ per unit$)805,000$

Contribution margin $483,000$

Fixed costs $218,400$

Income $ $264,600$

Problem $18-3$A $($Algo$)$ Part $1$

$1.$ Compute the break$-$even point in dollar sales for next year assuming the machine is installed. $($Round your answers to $2$ decimal places.$)$