Klyne Corporation manufactures pharmaceutical products that are sold through a network of sales agents. The agents are paid a commission of 18% of sales. The income statement for the year ending December 31, 2020, is as follows: Sales Cost of goods sold Variable Fixed Gross margin Selling and marketing expenses Commissions Fixed costs Operating income KLYNE CORPORATION Income Statement For the Year Ending December 31, 2020 $26,000,000 $11,700,000 2,870,000 14,570,000 11,430,000 4,680,000 3,420,000 8,100,000 $ 3.330.000