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: Total Company East Weat Sales $ 750,000 $500,000 $250,000 Variable expenses 525,000 375,000 150,000 Contribution margin 225,000 125,000 100,000 Traceable fixed 140,000 60,000 80,000 expenses Segment margin 85,000 $ 65,000 $ 20,000 Common fixed 70,000 expenses Net operating income 6 15,000 Requlred: 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? Complete this question by entering your answers in the tabs below. Reg 1 to 3 Req4 Reg 5 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