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 the contribution format segmented income statement shown below Total Company EastWest $900,000 $600,000 $300,000 Sales Variable expenses 675,000 480,000 195,000 Contribution margin 225,000 120,000 105,000 14 Traceable fixed expenses Segment margin Common fixed expenses 1,000 50,000 91,000 84,000 $ 70,000 $ 14,000 59,000 25,000 Net operating income Required: 1. Compute the companywide break-even point in dollar sales. (Round intermediate calculations to 2 decimal places.) 2. Compute the break-even point in dollar sales for the East region. (Round intermediate calculations to 2 decimal places.) Break-even point in dollar sales 3. Compute the break-even point in dollar sales for the West region. (Round intermediate calculations to 2 decimal places.) Break-even point in dollar sales 4. Prepare a new segmented income statement based on the break-even dollar sales that you computed in requirements 2 and 3. (Round intermediate calculations to 2 decimal places.) East West Compan 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 O No