Check m 1 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: 10 points Sales Variable expenses Contribution margin Fixed expenses Operating loss $2,050,000 876,050 1,173,950 1, 315,000 $ (141,050) eBook 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: Print References Sales Variable expenses as a percentage of sales Traceable fixed expenses Geographic Market South Central North $605,000 $804,000 $641,000 53% 34% 44% $315,000 $500,000 $305,000 Required: 1. Prepare a contribution format income statement segmented by geographic market, as requested by the president. Geographic Market Total Company South Central 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 10% if monthly advertising is increased by $30,000. Calculate the incremental net operating income. Incremental net operating income 2-b. Would you recommend the increased advertising? Yes