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17 5.55 points Skipped Required information [The following information applies to the questions displayed below.] Raner, Harris & Chan is a consulting firm that
17 5.55 points Skipped Required information [The following information applies to the questions displayed below.] Raner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two offices-one in Chicago and one in Minneapolis. The firm classifies the direct costs of consulting jobs as variable costs. A contribution format segmented income statement for the company's most recent year is given: Office eBook Sales Variable expenses Contribution margin Traceable fixed expenses Print Office segment margin Common fixed expenses not traceable to offices References Net operating income 270,000 Total Company $540,000 100.00% 50.00% Chicago Minneapolis 270,000 50.00% 151,200 28.00% 118,800 22.00% $ 180,000 54,000 126,000 93,600 $ 32,400 100.00% $360,000 100.00% 30.00% 216,000 60.00% 70.00% 144,000 40.00% 52.00% 57,600 16.00% 18.00% $ 86,400 24.00% 75,600 $ 43,200 14.00% 8.00% Required: 1-a. Compute the companywide break-even point in dollar sales. 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office. 1-c. Is the companywide break-even point greater than, less than, or equal to the sum of the Chicago and Minneapolis break-even points? Complete this question by entering your answers in the tabs below. Show less A
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