Parcel Corporation Segment Income Statement American International Total Company Division $1,520,000 $720,000 448,000 Division $ 800,000 160,000 640,000 Sales 288,000 Variable expenses Contribution margin Traceable fixed expenses 1,072,000 712,000 432,000 360,000 352,000 72,000 $ 288,000 Division segment margin 360,000 141,800 Common fixed expenses $ 218,200 Net operating income Knowledge Check 01 What is the break-even point for the American Division? $360,000 $440,000 $600,000 $1,210,549 Knowledge Check 02 What is the break-even point for the International Division? $352,000 $440,000 $600,000 $1,210,549 Knowledge Check 01 Which of the following is a common mistake made by companies when assigning costs to segments? They use allocation bases that drive the costs when assigning costs to segments. They trace fixed expenses to segments when it is feasible to do so. They assign the costs of the corporate headquarters buildings to segments because the segments must cover those costs They include "upstream" and "downstream" costs when preparing profitability analyses that relate to individual product costs