Problem $2-33$ Income Statement $($LG$2-1)$

Listed below is the income statement for Tom and Sue Travels, Incorporated.

TOM AND SUE TRAVELS, INCORPORATED

Income Statement for Year End

$($in millions of dollars$)$

The CEO of Tom and Sue's wants the company to earn a net income of $$3\mathrm{.}250$ million. Cost of goods sold is expected to be $50$ percent of net sales, depreciation and other operating expenses are not expected to change, interest expense is expected to increase to $$1\mathrm{.}311$ million, and the firm's tax rate will be $21$ percent. Calculate the net sales needed to produce net income of $$3\mathrm{.}250$ million.

Note: Enter your answer in millions of dollars rounded to $3$ decimal places. $($i$.$e$.,$ Enter $5,500,000$ as $5\mathrm{.}500.)$

Net sales

million