Millard Corporation is a wholesale distributor of office products. It purchases office products from manufacturers and distributes them in the West, Central, and East regions. Each of these regions is about the same size and each has its own manager and sales staff.

The company has been experiencing losses for many months. In an effort to improve performance, management has requested that the monthly income statement be segmented by sales region. The companys first effort at preparing a segmented income statement for May is given below.

	Sales Region
	West				Central			East
Sales	$	313,000			$	797,000		$	699,000
Regional expenses (traceable):
Cost of goods sold		95,000				237,000			314,000
Advertising		109,000				243,000			238,000
Salaries		58,000				51,000			110,000
Utilities		9,000				15,700			14,300
Depreciation		20,000				30,000			26,000
Shipping expense		17,000				29,000			36,000
Total regional expenses		308,000				605,700			738,300
Regional income (loss) before corporate expenses		5,000				191,300			(39,300	)
Corporate expenses:
Advertising (general)		17,000				37,000			34,000
General administrative expense		18,000				18,000			18,000
Total corporate expenses		35,000				55,000			52,000
Net operating income (loss)	$	(30,000	)		$	136,300		$	(91,300	)

The cost of goods sold and shipping expense are both variable. All other costs are fixed.

Required:

3. Prepare a new contribution format segmented income statement for May. (Round percentage answers to 1 decimal place.)

Total Company West Central East Amount Amount Amount Amount Variable expenses: Total variable expenses Traceable fixed expenses: Total traceable fixed expenses Common fixed expenses: Total common fixed expense Total common fixed expense Net operating income (loss)