Question: 1 . Redo the intern s segmented income statement using the contribution format. 2 . Compute the companywide break - even point in dollar sales.
Redo the interns segmented income statement using the contribution format.
Compute the companywide breakeven point in dollar sales.
Compute the breakeven point in dollar sales for the Commercial Division and for the Residential Division.
Assume the company decided to pay its sales representatives in the Commercial and Residential Divisions a total monthly salary of $ and $ respectively, and to lower its companywide sales commission percentage from to Calculate the new breakeven point in dollar sales for the Commercial Division and the Residential Division.
In preparing these statements, the intern determined that Toxaway's only variable selling and administrative expense is a sales
commission on all sales. The company's total fixed expenses include $ of common fixed expenses that would continue to be
incurred even if the Commercial or Residential segments are discontinued, $ of fixed expenses that would disappear if the
Commercial segment is dropped, and $ of fixed expenses that would disappear if the Residential segment is dropped.
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