2. By how much would the companys net operating income increase if Minneapolis increased its sales by $80,250 per year? Assume no change in cost behavior patterns.

3. Assume that sales in Chicago increase by $53,500 next year and that sales in Minneapolis remain unchanged. Assume no change in fixed costs.

a. Prepare a new segmented income statement for the company.

Raner, Harris and 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: Required: -a. Compute the companywide break-even point in dollar sales. -b. Compute the break-even point for the Chicago office and for the Minneapolis office. -c. Is the companywide break-even point greater than, less than, or equal to the sum of the Chicago and Minneapolis break-even oints