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Piedmont Company segments its business into two regionsNorth and South. The company prepared the contribution format segmented income statement as shown: Total Company North South
Piedmont Company segments its business into two regionsNorth and South. The company prepared the contribution format segmented income statement as shown:
Total Company | North | South | |
---|---|---|---|
Sales | $ 825,000 | $ 550,000 | $ 275,000 |
Variable expenses | 495,000 | 385,000 | 110,000 |
Contribution margin | 330,000 | 165,000 | 165,000 |
Traceable fixed expenses | 144,000 | 72,000 | 72,000 |
Segment margin | 186,000 | $ 93,000 | $ 93,000 |
Common fixed expenses | 64,000 | ||
Net operating income | $ 122,000 |
Required:
1. Compute the companywide break-even point in dollar sales.
2. Compute the break-even point in dollar sales for the North region.
3. Compute the break-even point in dollar sales for the South region.
(For all requirements, round your intermediate calculations to 2 decimal places. Round your final answers to the nearest dollar.)
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