Need help on these questions Piedmont Fasteners Corporation makes three different clothing fasteners in its manufacturing facility in North Carolina. All threeproducts are sold in highly competitive markets, so the company is unable to raise prices without losing an unacceptable number ofcustomers. Data from the most recent period concerning these products appear below:VelcroNylon407,200MetalAnnual sales volume101,800203,600Unit selling priceVariable expense per unitContribution margin per unit$1.65 $1.50 $0.851.25 $0.70 $0.250.40 $0.80 $0.60Total fixed expenses are $407,200 per period. Of the total fixed expenses, $20,000 could be avoided if the Velcro product is dropped,$80,000 if the Metal product is dropped, and $60,000 if the Nylon product is dropped. The remaining fixed expenses of $247,200consist of common fixed expenses such as administrative salaries and rent on the factory building that could be avoided only by goingout of business entirely.The company's managers would like to compute the break-even point in dollar sales for the company as a whole, and the break-evenpoint in unit sales for each product. They are considering two methods for computing each product's break-even point unit sales:Method #1: Include each product's traceable fixed costs and an allocated share of the common fixed costs in the numerator of eachbreak-even calculation. The common fixed costs would be allocated to the three products using sales dollars as the allocation base.Method #2: Only include each product's traceable fixed costs in the numerator of each break-even calculation.Required:1. Using data from the most recent period, prepare a contribution format segmented income statement.2. What is the company's over-all break-even point in dollar sales?3a. Calculate the break-even point in unit sales for each product using method 1.3b. If the company sells exactly the break-even quantity of each product, what will be the overall profit for the company using method1?4a. Calculate the break-even point in unit sales for each product using method 2.4b. If the company sells exactly the break-even quantity of each product, what will be the overall profit for the company using method2?5. Which method should the company use to calculate each product's break-even point in unit sales?Complete this question by entering your answers in the tabs below.Req 1Reg 2Reg 3a and 3b Reg 4a and 4bReq 5Using data from the most recent period, prepare a contribution format segmented income statement.Piedmont Fasteners CorporationContribution Format Income StatementVelcroMetalNylonTotalSales$167,970305,400 $346,120 $819,490Variable expenses127,250142,520101,800371,570Contribution margin40,720162,880244.320447,920Traceable fixed expensesSegment margin40,720$162.880$244,320447,920Common fixed expensesNet operating income2$40,270< Req 1Req 2 > Piedmont Fasteners Corporation makes three different clothing fasteners in its manufacturing facility in North Carolina. All threeproducts are sold in highly competitive markets, so the company is unable to raise prices without losing an unacceptable number ofcustomers. Data from the most recent period concerning these products appear below:VelcroMetalNylonAnnual sales volume101,800203,600407,200Unit selling priceVariable expense per unitContribution margin per unit1.65 $1.50 $0.851.25240.70 $0.250.40 $0.80 $0.60Total fixed expenses are $407,200 per period. Of the total fixed expenses, $20,000 could be avoided if the Velcro product is dropped,$80,000 if the Metal product is dropped, and $60,000 if the Nylon product is dropped. The remaining fixed expenses of $247,200consist of common fixed expenses such as administrative salaries and rent on the factory building that could be avoided only by goingout of business entirely.The company's managers would like to compute the break-even point in dollar sales for the company as a whole, and the break-evenpoint in unit sales for each product. They are considering two methods for computing each product's break-even point unit sales:Method #1. Include each product's traceable fixed costs and an allocated share of the common fixed costs in the numerator of eachbreak-even calculation. The common fixed costs would be allocated to the three products using sales dollars as the allocation base.Method #2: Only include each product's traceable fixed costs in the numerator of each break-even calculation.Required:1. Using data2. What is the company's over-all break-even point in dollar sales?3a. Calculate the break-even point in unit sales for each product using method 1.3b. If the company sells exactly the break-even quantity of each product, what will be the overall profit for the company using method1?the most recent period, prepare a cortion formsegmentednent4a. Calculate the break-even point in unit sales for each product using method 2.4b. If the company sells exactly the break-even quantity of each product, what will be the overall profit for the company using method2?5. Which method should the company use to calculate each product's break-even point in unit sales?Complete this question by entering your answers in the tabs below.Req 1Req 2Reg 3a and 3b Reg 4a and 4bReq 5What is the company's over-all break-even point in dollar sales? (Round your intermediate calculations to 4 decimal placesand final answer to the nearest whole number.)Overall break-even point< Req 1Req 3a and 3b>

Answered: Image /qna-images/answer/c03310dc-d2e2-4882-879e-e7a6e49063d1.jpg

Piedmont Fasteners Corporation makes three different clothing fasteners in its manufacturing facility in North Carolina. All three products are sold in highly competitive markets, so the company is unable to raise prices without losing an unacceptable number of customers. Data from the most recent period concerning these products appear below: Velcro Metal Nylon 203,600 1.50 $ 0.70 $ Annual sales volume 101,800 407,200 Unit selling price Variable expense per unit Contribution margin per unit 1.65 $ 1.25 $ 0.40 $ 0.85 0.25 0.80 $ 0.60 Total fixed expenses are $407,200 per period. Of the total fixed expenses, $20,000 could be avoided if the Velcro product is dropped, $80,000 if the Metal product is dropped, and $60,000 if the Nylon product is dropped. The remaining fixed expenses of $247,200 consist of common fixed expenses such as administrative salaries and rent on the factory building that could be avoided only by going out of business entirely. The company's managers would like to compute the break-even point in dollar sales for the company as a whole, and the break-even point in unit sales for each product. They are considering two methods for computing each product's break-even point unit sales: Method #1. Include each product's traceable fixed costs and an allocated share of the common fixed costs in the numerator of each break-even calculation. The common fixed costs would be allocated to the three products using sales dollars as the allocation base. Method #2. Only include each product's traceable fixed costs in the numerator of each break-even calculation. Required: 1. Using data from the most recent period, prepare a contribution format segmented income statement. 2. What is the company's over-all break-even point in dollar sales? 3a. Calculate the break-even point in unit sales for each product using method 1. 3b. If the company sells exactly the break-even quantity of each product, what will be the overall profit for the company using method 1? 4a. Calculate the break-even point in unit sales for each product using method 2. 4b. If the company sells exactly the break-even quantity of each product, what will be the overall profit for the company using method 2? 5. Which method should the company use to calculate each product's break-even point in unit sales?