Problem 6-26 (Algo) Restructuring a Segmented Income Statement [LOG-4] 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 company's first effort at preparing a segmented income statement for May is given below. Sales Region West Central East Sales $ 312,000 $ 304,000 S 697,000 Regional expenses (traceable): Cost of goods sold 91,000 238,000 313,000 Advertising 109,000 236,000 239,000 Salaries 52,000 52,000 107,000 Utilities 8,500 15,800 13,800 Depreciation 24,000 35,000 29,000 Shipping expense 17,000 34,000 35,000 Total regional expenses 301,500 610,800 736,800 Regional income (loss) before corporate expenses 10,500 193,200 (39,800) Corporate expenses: Advertising (general) 15,000 40,000 36,000 General administrative expense 22,000 22,000 22,000 Total corporate expenses 37,000 62,000 58,000 Net operating income (loss) $ (26,500) $ 131,200 $ (97,800) 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.) 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 Net operating income (loss)