Book Wingate Company, a wholesale distributor of electronic equipment, has been experiencing losses for some time, as shown by its most recent monthly contribution format income statement Sales $ 1,539,000 Variable expenses 518,440 Contribution margin 1,020,560 Fixed expenses 1,123,00 Het operating income (loss) $ (102,440) In an effort to resolve the problem, the company would like to prepare an income statement segmented by division. Accordingly, the Accounting Department has developed the following information: Division East Central West Sales $ 379,000 $ 650.000 $ 510,000 56% 223 32 Variable expenses as a percentage of sales Traceable fixed expenses $ 294.000 5334,000 $ 200,000 Hint Print rences Required: 1. Prepare a contribution format income statement segmented by divisions. 2-a. The Marketing Department has proposed increasing the West Division's monthly advertising by $28.000 based on the belief that it would increase that division's sales by 11%. Assuming these estimates are accurate how much would the company's net operating income increase (decrease) if the proposal is implemented? 2-b. Would you recommend the increased advertising? Complete this question by entering your answers in the tabs below. Reg 1 Red 2A Req 2B Prepare a contribution format income statement segmented by divisions. Division Central Total Company East West Req 2A > Prev 1 of 2 Score.answer > ILOHE meas queriease) ure proposals peniente: b. Would you recommend the increased advertising? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 28 The Marketing Department has proposed increasing the West Division's monthly advertising by $28,000 based on the belief that it would increase that division's sales by 11%. Assuming these estimates are accurate, how much would the company's net operating income increase (decrease) if the proposal is implemented? (Do not round intermediate calculations.) Net operating income will by nep Dave CI 1. Prepare a contribution format income statement segmented by divisions, 2-a The Marketing Department has proposed increasing the West Division's monthly advertising by $28.000 based on the belief that it would increase that division's sales by 11% Assuming these estimates are accurate, how much would the company's net operating income increase (decrease) if the proposal is implemented? 2-b. Would you recommend the increased advertising Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 2B Would you recommend the increased advertising? Yes ONO