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?

Raner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two officesone 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: Sales Variable expenses Contribution margin Traceable fixed expenses Office segment margin Common fixed expenses not traceable to offices Net operating income Total Company $ 517,500 100.00% 258,750 50.00% 258,750 50.00% 144,900 28.00% 113,850 22.00% Office Chicago Minneapolis $ 172,500 100.00% $ 345,000 100.00% 51,750 30.00% 207,000 60.00% 120,750 70.00% 138,000 40.00% 89,700 52.00% 55,200 16.00% $ 31,050 18.00% $ 82,800 24.00% 72,450 $ 41,400 14.00% 8.00%