Required information Exercise 4-16 (Algo) Working with a Segmented Income Statement; Break-Even Analysis [L04-4, LO4-5 The following information applies to the questions displayed below, 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 varlable costs. A contribution format segmented income statement for the company's most recent year is given: office Minneapolis 100 Total Company $787,500 425,250 Chicago 100.0 Sales $157,500 100% $630,000 378,000 Variable expenses Contribution margin Trceable fixed expense 54.08 47,250 30 60 362,250 176,400 46.0 110,250 708 252,000 94,500 40 22.4 528 81,900 158 25 office segment margin 23.6 28,350 18 $157,500 185,850 Common fixed expenses not 16.0 126,000 traceable to offices Net operating income 7.68 59,850 Exercise 4-16 (Algo) Part 1 Required 1-a. Compute the companywide break-even point in dollar sales. 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office. 1-c. Is the companywide break-even point greater than, less than, or equal to the sum of the Chicago and Minneapolis break-even points? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 1C Compute the companywide break-even point in dollar sales. (Round "CM ratio" too 2 decimal places and final answers to the nearest whole dollar amount.) Break-even point in dollar sales Req 1A Req 1B Required information Exercise 4-16 (Aigo) Working with a Segmented Income Statement; Break-Even Analysis [LO4-4, LO4-5 The following information applies to the questions displayed below, 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 Minneapols. The firm classifies the direct costs of consulting jobs as varlable costs. A contribution format segmented income statement for the company's most recent year is glven: office Total Company $787,500 425,250 Chicago $157,500 100 Minneapoli 100 $630,000 378,000 Sales variable expenses 100.0 54.08 308 60 47,250 46.0 Contribution margin Traceable fixed expenses 362,250 176,400 110,250 81,900 708 252,000 94,500 40% 22,4 528 158 office segment margin 185,850 23.6 28,350 $157,500 18% 258 Common fixed expenses not 126,000 16.08 traceable to offices Net operating income 59,850 7.68 Exercise 4-16 (Algo) Part 1 Required: 1-a. Compute the companywide break-even point in dollar sales. 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office 1-c. Is the companywide break-even point greater than, less than, or equal to the sum of the Chicago and Minneapols break-even points? Complete this question by entering your answers in the tabs below. Req 1BReq 1C Req 1A Compute the break-even point for the Chicago office and for the Minneapolis office. (Round "CM ratio to 2 decimal places and final answers to the nearest whole dollar amount.) Break- even Point Chicago office Minneapolis office Req 1A Req 1C Required information Exercise 4-16 (Algo) Working with a Segmented Income Statement; Break-Even Analysis [LO4-4, LO4-5) The falowing information applies to the questions displayed below 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: office Minneapolis $630,000 378,000 Chicago $157,500 47,250 Total Company $787,500 425,250 100.0 54.0 Salea 1008 100% Variable expenaes Contribution margin Traceable fixed expenses 308 60 362,250 176,400 110,250 81,900 708 408 46.08 252,000 22,4 528 94,500 158 28,350 18 23.6 $157,500 office segment margin 185,850 25% Common ixed expenses not traceable to officea 16.08 126,000 7.6 59,850 Net operating incone Exercise 4-16 (Algo) Part 1 Required: 1-a. Compute the companywide break-even point in dollar sales. 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office. 1-c. Is the companywide break-even point greater than, less than, or equal to the sum of the Chicago and Minneapolls break-even polnts? Complete this question by entering your answers in the tabs below. Req 1B Req 1C Req 1A Is the companywide break-even point greater than, less than, or equal to the sum of the Chicago and Minneapolis break-even points? OGreater than OLess than OEqual to Req 1B Reg 1C Required information Exercise 4-16 (Algo) Working with a Segmented Income Statement; Break-Even Analysis [LO4-4, LO4-5] The following infarmation applies to the questions dlisplayed below Raner, Harris & Chan is a consulting firm that speciallzes in information systems for medical and dental clinics. The firm has two offices-one in Chicago and one in Minneapolls. The firm classifies the direct costs of consulting jobs as varlable costs. A contribution format segmented income statement for the company's most recent year is given: office Minneapolis 100 Total Company $787,500 425,250 Chicago 100 $157,500 47,250 30 Sales 100.08 $630,000 378,000 variable expenses Contribution margin Traceable fixed expenses 54.0 608 362,250 176,400 46.08 110,250 81,900 708 252,000 94,500 40 22.4 528 158 office segment margin 23.6 28,350 $157,500 258 185,850 18% Common ixed expenses not traceable to offices 126,000 16.08 7,6 Net operating income 59,850 Exercise 4-16 (Algo) Part 2 2. By how much would the company's net operating income increase if Minneapolls increased its sales by $78,750 per year? Assume no change in cost behavior patterns Net operating income increase