Compute the companywide break-even point in dollar sales

Reference no: EM131957775

Problem

Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement shown below: Total Company North South Sales $ 600,000 $ 400,000 $ 200,000 Variable expenses 360,000 280,000 80,000 Contribution margin 240,000 120,000 120,000 Traceable fixed expenses 132,000 66,000 66,000 Segment margin 108,000 $ 54,000 $ 54,000 Common fixed expenses 56,000 Net operating income $ 52,000 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. (Round your break-even dollar sales to the nearest whole number.)

Reference no: EM131957775

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