Charles Schwab Corporation (SCHW) is a large brokerage and wealth management company that operates in two segments: Investor Services and Advisor Services. In recent financial statements, Schwab reported the following (in millions):

a. How does a brokerage company like Schwab define the Investor Services and Advisor Services segments? Use the Internet to develop your answer.
b. Provide a specific example of a variable and fixed cost in the Investor Services segment.
c. Estimate the contribution margin for each segment, assuming depreciation represents the majority of fixed costs.
d. If Schwab decided to sell its Advisor Services accounts to another company, estimate how much operating income would decline.

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Revenues Operating income Depreciation Investor Services $8,608 3,079 288 Advisor Services $3,083 1,221 126