Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented Income statement as shown: North $600,000 480,000 South

image text in transcribed
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented Income statement as shown: North $600,000 480,000 South $200,000 80,000 120,000 120,000 Total Company Sales $800,000 Variable 560,000 expenses Contribution 240,000 margin Traceable fixed 122,000 expenses Segment margin 118,000 Common fixed 52,000 expenses Net operating $ 66,000 income 61,000 61,000 $ 59,000 S 59,000 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.) Dollar sales for company to break- even Dollar sales for North segment to break-even a Dollar sales for South segment to break-even

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions