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Ranner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics, The firm has two offices, one in
Ranner, 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: Chicago Minneapolis Total Company Sales $150,000 $300,000 $450,000 VE $45,000 $180,000 $225,000 CM $105,000 $120,000 $225,000 Traceable FE $78,000 $48,000 $126,000 Segment $27,000 $72,000 $99,000 Margin Common FE $21,000 $42,000 $63,000 $6,000 $30,000 $36,000 a) Calculate the break-even point for Chicago. b) Calculate the break-even point for Minneapolis. b) Calculate the company wide break-even point. c) If both segments were at break-even, what would be the ending NOI for the company
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