Raner, Harris and Chan is a consulting firm specializing in information systems for medical and dental clinics The firm has two officesone in Chicago and one in Minneapolis It classifies the direct costs of consulting jobs as variable costs A contribution format segmented income statement for the companys most recent year is given below Total Company Office Chicago Minneapolis Sales $ 468,000 100 00 $ 156,000 100 00 $ 312,000 100 00 Variable expenses 234,000 50 00 46,800 30 00 187,200 60 00 Contribution margin 234,000 50 00 109,200 70 00 124,800 40 00 Traceable fixed expenses 131,040 28 00 81,120 52 00 49,920 16 00 Office segment margin 102,960 22 00 $ 28,080 18 00 $ 74,880 24 00 Common fixed expenses not traceable to offices 65,520 14 00 Net operating income $ 37,440 8 00 3 Assume sales in Chicago increase by $52,000 next year and sales in Minneapolis and all fixed costs remain unchanged a Prepare a new segmented income statement for the company Note Round your intermediate calculations and percentage answers to 1 decimal place (i e 0 1234 should be entered as 12 3 and other answers to the nearest whole dollar )

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Raner, Harris and Chan is a consulting firm specializing in information systems for medical and dental clinics. The firm has two officesone in Chicago and

Raner, Harris and Chan is a consulting firm specializing in information systems for medical and dental clinics. The firm has two officesone in Chicago and one in Minneapolis. It classifies the direct costs of consulting jobs as variable costs. A contribution format segmented income statement for the companys most recent year is given below:

	Total Company	Office
Chicago	Minneapolis
Sales	$ 468,000	100.00%	$ 156,000	100.00%	$ 312,000	100.00%
Variable expenses	234,000	50.00%	46,800	30.00%	187,200	60.00%
Contribution margin	234,000	50.00%	109,200	70.00%	124,800	40.00%
Traceable fixed expenses	131,040	28.00%	81,120	52.00%	49,920	16.00%
Office segment margin	102,960	22.00%	$ 28,080	18.00%	$ 74,880	24.00%
Common fixed expenses not traceable to offices	65,520	14.00%
Net operating income	$ 37,440	8.00%

3. Assume sales in Chicago increase by $52,000 next year and sales in Minneapolis and all fixed costs remain unchanged.

a. Prepare a new segmented income statement for the company.

Note: Round your intermediate calculations and percentage answers to 1 decimal place (i.e. 0.1234 should be entered as 12.3 and other answers to the nearest whole dollar.)