Bovine Company. a wholesale distributor of umbrellas, has been experiencing losses for some time. as shown by its most recent monthly contribution format income statement: Sales $2,l60,000 Variable expenses 874,900 Contribution margin 1,285,100 Fixed expenses 1,337,000 Operating 1055 S (51,900) In an effort to isolate the problem, the president has asked for an income statement segmented by geographic market. Accordingly. the Accounting Department has developed the following: Geographic Market South Central North Sales $616,000 $815,000 $729,000 Variable expenses as a percentage of sales 55% 30% 40% Traceable fixed expenses $336,000 $546,000 $316,000 Required: 1. Prepare a contribution format income statement segmented by geographic market. as requested by the president. Z-a. The company's sales manager believes that sales in the Central geographic market could be increased by 10% if monthly advertising is increased by $41,000. Calculate the incremental net operating income. 2-b. Would you recommend the increased advertising? O No O Yes