Exercise 6-10 Companywide and Segment Break-Even Analysis [LO6-5) Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format segmented income statement as shown below: Company East West Sales 900,000 600,000300,000 Variable expenses Contribution margin Traceable fixed expenses 675,000 480,000195,000 225,000 120,000 105,000 Segment margin Common fixed expenses 141,00050,0009000 84,000 70,000 14,000 59,000 Net operating income $25,000 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. 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