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Survey of Accounting (Accounting I)
8th Edition
ISBN: 9781305961883
Author: Carl Warren
Publisher: Cengage Learning
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Give true answer this general accounting

Transcribed Image Text:Piedmont Company segments its business into two regions-North 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.
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