Presented below are variable costing income statements for Diggs Company and Doggs Company. They are in the same industry , with the same net incomes, but different cost structures.

Compute the break-even point in dollars for each company and comment on you findings.

Diggs Co. $200,000 80,000 120,000 75,000 45,000 Doggs Co $200,000 50,000 150,000 105,000 45,000 Sales Variable costs Contribution margirn Fixed costs Net income