Exercise 7-17 Working with a Segmented Income Statement [LO7-4] Raner, Harris & 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: Assume that Minneapolis' sales by major market are: Sales Contribution margin 26% Market segment margin Common fixed expenses not traceable to markets office segment margin 134,400 28% 96,000 3e% $38,400 24% 14,408 33 The company would like to initiate an intensive advertising campaign in one of the two market segments during the next month. The campaign would cost $6.400. Marketing studies indicate that such a campaign would increase sales in' the Medical market by $56,0 or increase sales in the Dental market by $48,000 The company would like to initiate an intensive advertising campaign in one of the two market segments during the next month. The campaign would cost $6,400. Marketing studies indicate that such a campaign would increase sales in the or increase sales in the Dental market by $48,000 Medical market by $56,000 Required: 1. Ho wmuch would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? 2 How much would the company's profits increase (decrease) if it implemented the a 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? crease s pro Required 2