Exercise 6-5 (Algo) Companywide and Segment Break-Even Analysis [LO6-5] Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 525,000 315,000 1. Dollar sales for company to break even 2. Dollar sales for North segment to break even 3. Dollar sales for South segment to break even 210,000 126,000 84,000 52,000 $ 32,000 North $ 350,000 245,000 105,000 63,000 $ 42,000 South $ 175,000 70,000 105,000 63,000 $ 42,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar sales for the North region. 3. Compute the break-even point in dollar sales for the South region. (For all requirements, round your intermediate calculations to 2 decimal places. Round your final answers to the nearest dollar.)
Exercise 6-5 (Algo) Companywide and Segment Break-Even Analysis [LO6-5] Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 525,000 315,000 1. Dollar sales for company to break even 2. Dollar sales for North segment to break even 3. Dollar sales for South segment to break even 210,000 126,000 84,000 52,000 $ 32,000 North $ 350,000 245,000 105,000 63,000 $ 42,000 South $ 175,000 70,000 105,000 63,000 $ 42,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar sales for the North region. 3. Compute the break-even point in dollar sales for the South region. (For all requirements, round your intermediate calculations to 2 decimal places. Round your final answers to the nearest dollar.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Dinesh bhai
![Exercise 6-5 (Algo) Companywide and Segment Break-Even Analysis [LO6-5]
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format
segmented income statement as shown:
Sales
Variable expenses
Contribution margin
Traceable fixed expenses
Segment margin
Common fixed expenses
Net operating income
Total Company
$ 525,000
315,000
1. Dollar sales for company to break even
2. Dollar sales for North segment to break even
3. Dollar sales for South segment to break even
210,000
126,000
84,000
52,000
$ 32,000
North
$ 350,000
245,000
105,000
63,000
$ 42,000
South
$ 175,000
70,000
105,000
63,000
$ 42,000
Required:
1. Compute the companywide break-even point in dollar sales.
2. Compute the break-even point in dollar sales for the North region.
3. Compute the break-even point in dollar sales for the South region.
(For all requirements, round your intermediate calculations to 2 decimal places. Round your final answers to the nearest dollar.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F867dc986-1d58-404f-9968-91db2a386706%2F8525a465-39ae-4b77-b8bc-8a0de9ab8f42%2Fnaw6o4_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Exercise 6-5 (Algo) Companywide and Segment Break-Even Analysis [LO6-5]
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format
segmented income statement as shown:
Sales
Variable expenses
Contribution margin
Traceable fixed expenses
Segment margin
Common fixed expenses
Net operating income
Total Company
$ 525,000
315,000
1. Dollar sales for company to break even
2. Dollar sales for North segment to break even
3. Dollar sales for South segment to break even
210,000
126,000
84,000
52,000
$ 32,000
North
$ 350,000
245,000
105,000
63,000
$ 42,000
South
$ 175,000
70,000
105,000
63,000
$ 42,000
Required:
1. Compute the companywide break-even point in dollar sales.
2. Compute the break-even point in dollar sales for the North region.
3. Compute the break-even point in dollar sales for the South region.
(For all requirements, round your intermediate calculations to 2 decimal places. Round your final answers to the nearest dollar.)
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