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: Total Company $ 900,000 100.00% 414,000 46.00 Sales Variable expenses Office Vancouver 100% $ 780,000 26 390,000 Toronto $ 120,000 24,000 100% 50 Contribution margin Traceable fixed expenses 486,000 187,200 54.00 20.80 96,000 46,800 80 39 390,000 140,400 50 18 Office segment margin 298,800 33.20 $ 49,200 41% $ 249,600 32% Common fixed expenses not traceable to offices 117,000 13.00 Operating income $ 181,800 20.20% Required: 1. By how much would the company's operating income increase if Vancouver increased its sales by $87,000 per year? Assume no change in cost behaviour patterns. Increase in operating income $ 43,500 2-a. Refer to the original data. Assume that sales in Toronto increase by $75,000 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 2 decimal places.) Segments Toronto Vancouver Total Company Amount % Amount % Amount % Sales Variable expenses $ 0 0.00 0 0.00 0 0.00 Contribution margin Traceable fixed expenses Office segment margin Common fixed expenses not traceable to segments Operating income $ 0 0.00 $ 0 0.00 $ 0 0.00 $ 0 0.00