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 Variable expenses Contribution margin Fixed expenses Operating loss $2,860,000 874,380 1,185,620 1,317,000 $ (131,380) 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 $606,000 $805.000 $649,000 Variable expenses as a percentage of sales 524 345 449 Traceable fixed expenses $306,000 $500,000 $306,000 Danile Required: 1. Prepare a contribution format income statement segmented by geographic market, as requested by the president Total Company Geographic Market Central South North $ 0 0 0 0 $ 0 $ 0 $ 0 $ 0 $ 0 2.a. The company's sales manager believes that sales in the Central geographic market could be increased by 15% if monthly advertising is increased by $31,000. Calculate the incremental net operating income, Incremental net operating incomo 2-b. Would you recommend the increased advertising? Yes NO