ossfire Company segments its business into two regions segmented income statement as shown below East...
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Accounting
ossfire Company segments its business into two regions segmented income statement as shown below East and West. The company prepared a contribution format Total Conpany East West Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income s 968,e00 s 640,800 320,888 768,00e 192,880 537,668we16001 230,480 89,680 63,000 26,689 182,400 54,800 75,00e$48.480 S5,e08 s 20,eee Required: 1. Compute the companywide break-even point in dollar sales 2. Compute the break-even point in dollar sales for the East region. 3. Compute the break-even point in dollar sales for the West region. 4. Prepare a new segmented income statement based on the break-even dollar sales that you computed in requirements 2 and 3. Use the same format as shown above. What is Crossfire's net operating income (loss) in your new segmented income statement? 5. Do you think that Crossfire should allocate its common fixed expenses to the East and West regions when computing the break- even points for each region? Complete this question by entering your answers in the tabs below Req 1 to 3 Req 4 Req 5 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar sales for the East region. 3. Compute the break-even point in dollar sales for the West region (Round intermediate calculations to 2 decimal places) Show lessA Break-Even point Dollar sales for the whole company Dollar sales for the East region Dollar sales for the West region 337,500 225,000 K Prev 3 of 3Next

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