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Middleton Associates is a consulting firm that specializes in information systems for construction and landscaping companies. The firm has two offices-one in Toronto and

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Middleton Associates is a consulting firm that specializes in information systems for construction and landscaping companies. The firm has two offices-one in Toronto and one in Vancouver. The firm classifies the direct costs of consulting jobs as variable costs. A segmented contribution format income statement for the company's most recent year is given below: Sales Variable expenses Contribution margin Traceable fixed expenses office segment margin Common fixed expenses not traceable to offices Operating income Office Total Company Toronto Vancouver $750,000 100.0% $150,000 100% $600,000 100% 405,000 54.0 345,000 46.0 168,000 22.4 45,000 30 105,000 70 78,000 52 360,000 60 240,000 40 90,000 15 177,000 23.6 $ 27,000 18% $150,000 25% 120,000 16.0 $ 57,000 7.6% 2-a. Refer to the original data. Assume that sales in Toronto increase by $50,000 next year and that sales in Vancouver remain unchanged. Assume no change in fixed costs. Prepare a new segmented income statement for the company. (Round your percentage answers to 1 decimal place.) Segments Total Company Toronto Vancouver Amount % Amount % Amount % $ 0 0.0 0 0.0 0 0.0 $ 0 0.0 $ 0 0.0 $ 0 0.0 $ 0 0.0

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