Raner, Harris & Chan Is a consulting firm that specializes in Information systems for medical and dental clinics. The firm has two offices -one in Chicago and one in Minneapolis. The firm classifies the direct costs of consulting Jobs as variable costs. A contribution format segmented income statement for the company's most recent year is given: Assume that Minneapolis' sales by major market are: Sales Variable expenses Contribution margin Traceable fixed expennen Market segment margin Common fixed expenses not traceable to markets office segment margin Market Minneapolis Medien Denta $660,000 1000 $440,000 1000 $220,000 1008 396,000 601 286,000 656 110,000 509 264,000 400 154,000 350 110,000 500 79,200 125 22,000 58 57,200 266 184,800 286 $132,000 300 $ 52,800 246 30 19,800 $165,000 250 The company would like to initiate an intensive advertising campaign in one of the two market segments during the next month. The campaign would cost $8,800. Marketing studies indicate that such a campaign would increase sales in the Medical market by $77,000 or increase sales in the Dental market by $66,000. Required: 1. How much would the company's profits increase (decrease) if it Implemented the advertising campaign in the Medical Market? 2. How much would the company's profits increase (decrease) If it implemented the advertising campaign in the Dental Market? 3. In which of the markets would you recommend that the company focus its advertising campaign