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Klyne Corporation manufactures pharmaceutical products that are sold through a network of sales agents. The agents are paid a commission of 25% of sales. The

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Klyne Corporation manufactures pharmaceutical products that are sold through a network of sales agents. The agents are paid a commission of 25% of sales. The income statement for the year ending December 31, 2017. is as toilows: KLYNE CORPORATION Income Statement For the Year Ending December 31, 2017 Sales 53 29,500,000 Cost of goods sold Variahie $ 15.340.000 F ixed 2 ,877 , DUO 18 .217 ,000 Gross margin Selling and marketing expenses Commissi ons Fixed costs 11,283,000 T .335 , 000 3 ,220 , DUO 10 ,595 ,OUG Operating $ _ 688,000 Income Klyne is considering hiring its own sales start to repiace the network of agents. Klyne wiil pay its salespeople a commission of 15% and incur xed costs of $2,08?,000. Required: 1. Calculate Klyne Corporation's break-even point in sales dollars for the year 201?. (Round your answer to 2 decimal places.)

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