required 1-5

7 Crossfire Company segments its business into two regions-East and West. The company prepared a contribution format segmented Income statement as shown below. 3.58 points Sales Variable expenses Contribution margin Traceable fixed expenses Segnent margin Comon fixed expenses Net operating income Total Company $1,000,000 810,000 270,000 161,000 1e9, eee 78,000 31,000 East $ 780,000 624,000 156, eee 66,eee 90,eee West $ see,eee 186,000 114,000 95,00 $ 19,000 Book Hint Required: 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? References Complete this question by entering your answers in the tabs below. Reg1 to 3 Reg 4 Reus 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. (Round your intermediate calculations to 2 decimal places.) Show less Break Even Point Dollar sales for the whole company Dola sales for the East region Dollar sales for the West region Rege)