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

Middleton Associates is a consulting firm that specializes in information systems for construction and landscaping companles. The firm
has two offices-one in Toronto and one in Vancouver. The firm classifies the direct costs of consulting Jobs as varlable costs. A
segmented contribution format income statement for the company's most recent year is given below.
Required:
By how much would the company's operating Income Increase If Vancouver Increased its sales by $81,000 per year? Assume no
change in cost behaviour patterns.
2-a. Refer to the original data. Assume that sales In Toronto Increase by $80,000 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.)
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