Piedmont Company segments its business into two regionsNorth and South. The company prepared the contribution...
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Accounting
Piedmont Company segments its business into two regionsNorth and South. The company prepared the contribution format segmented income statement as shown:
Total Company
North
South
Sales
$ 675,000
$ 450,000
$ 225,000
Variable expenses
405,000
315,000
90,000
Contribution margin
270,000
135,000
135,000
Traceable fixed expenses
132,000
66,000
66,000
Segment margin
138,000
$ 69,000
$ 69,000
Common fixed expenses
58,000
Net operating income
$ 80,000
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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