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In an effort to resolve the problem, the company wants to prepare an income statement segmented by division. Accordingly, the Accounting Department provided the following

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In an effort to resolve the problem, the company wants to prepare an income statement segmented by division. Accordingly, the Accounting Department provided the following information: Required: 1. Prepare a contribution format income statement segmented by divisions. 2 -a. The Marketing Department believes increasing the West Division's monthly advertising by $21,000 will increase that division's sales by 14%. Assuming these estimates are accurate, how much would the company's net operating income increase (decrease) if th proposal is implemented? 2-b. Would you recommend the increased advertising? Complete this question by entering your answers in the tabs below. Prepare a contribution format income statement segmented by divisions. Complete this question by entering your answers in the tabs below. Do you think Crossfire should allocate its common fixed expenses to the East and West regions when computing the breakeven points for each region? The Marketing Department believes increasing the West Division's monthly advertising by $21,000 will increase that division's sales by 14%. Assuming these estimates are accurate, how much would the company's net operating income increase (decrease) if the proposal is implemented? Note: Do not round intermediate calculations. In an effort to resolve the problem, the company wants to prepare an income statement segmented by division. Accordingly, the Accounting Department provided the following information: Required: 1. Prepare a contribution format income statement segmented by divisions. 2 -a. The Marketing Department believes increasing the West Division's monthly advertising by $21,000 will increase that division's sales by 14%. Assuming these estimates are accurate, how much would the company's net operating income increase (decrease) if th proposal is implemented? 2-b. Would you recommend the increased advertising? Complete this question by entering your answers in the tabs below. Prepare a contribution format income statement segmented by divisions. Complete this question by entering your answers in the tabs below. Do you think Crossfire should allocate its common fixed expenses to the East and West regions when computing the breakeven points for each region? The Marketing Department believes increasing the West Division's monthly advertising by $21,000 will increase that division's sales by 14%. Assuming these estimates are accurate, how much would the company's net operating income increase (decrease) if the proposal is implemented? Note: Do not round intermediate calculations

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