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Exercise 6-10 (Algo) Companywide and Segment Break-Even Analysis (L06-5) Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format segmented income statement as shown below. Sales Variable expenses Contribution margin Traceable fixed expenses Seyment margin Connon fixed expenses Het operating income Total Company $ 960,000 760.000 192,000 117,000 75.000 tast 5.640,000 537,600 102,400 54,000 $48.400 West $ 320,000 230,400 89.600 63.000 $ 26,600 $ 20,000 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 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 Reg 4 Reg 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 less Break-even point Dollar sales for the whole company Dollar sales for the East region Dollar sales for the West region Herto Reg 4 > Complete this question by entering your answers in the tabs below. Req 1 to 3 Reg 4 Reg 5 Prepare a new segmented income statement based on the break-even dollar sales that you computed in requirements 2 and 3. What is Crossfire's net operating Income (loss) in your new segmented Income statement? Total Company East West Sales Variable expenses Contribution margin 0 Traceable foxed expenses Product line segment margin Common fixed expenses not traceable to products Net operating loss $ 0 0 0 0 0 0 Req 1 to 3 Reg 4 Reg 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? OYes ON