Required information Exercise 7-16 Working with a Segmented Income Statement; Break-Even Analysis (L07-4, LO7-5) [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 variable costs. A contribution format segmented income statement for the company's most recent year is given office Total Company Chicago Minneapolis Sales $1,012,500 100.00 $ 202,500 1005 $ 810,000 1005 Variable expenses 546,750 54.00 60,750 303 486,000 600 Contribution margin 465,750 46.00 141,750 708 324,000 403 Traceable fixed expenses 226,800 22.40 105,300 520 121,500 150 office segment margin 238,950 23.68 $36,450 18 $ 202,500 250 Common fixed expenses not traceable to offices 162,000 16.00 Het operating income $ 76,950 7.68 Exercise 7-16 Part 1 Required: 1-a. Compute the companywide break-even point in dollar sales. 1-6. Compute the break-even point for the Chicago office and for the Minneapolis office. 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 Reg 1B Req1C Compute the companywide break-even point in dollar sales. (Round "CM ratio* to 2 decimal places and final answer to the nearest whole dollar amount.) Break-even point in dollar sales Reg 18> Exercise 7-16 Working with a Segmented Income Statement; Break-Even Analysis (L07-4, L07-5) [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 variable costs. A contribution format segmented income statement for the company's most recent year is given office Total Company Chicago Minneapolis Sales $1,012,500 100.0% $ 202,500 1004 $ 810,000 1004 Variable expenses 546,750 54.09 60,250 301 486,000 601 Contribution margin 465,750 46.00 141,750 708 324,000 Traceable fixed expenses 226,800 22.40 105,300 520 121,500 151 office segment margin 238,950 $ 35,450 $ 202,500 Common fixed expenses not traceable to offices 162,000 16.08 Net operating income 76,950 7.68 408 23.68 188 256 Exercise 7-16 Part 1 Required: 1-a. Compute the companywide break-even point in dollar sales. 1-6. Compute the break-even point for the Chicago office and for the Minneapolis office - 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 Reg 1B Req 1C Compute the break-even point for the Chicago office and for the Minneapolis and final answers to the nearest whole dollar amount.) (Round "CM ratio" to 2 places Break-Even Point Chicago ofice Minneapolis office Required information Exercise 7-16 Working with a Segmented Income Statement; Break-Even Analysis [LO7-4, L07-5) 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 variable costs. A contribution format segmented income statement for the company's most recent year is given: Sales Variable expenses Contribution margin Traceable fixed expenses office segment margin Common fixed expenses not traceable to offices Net operating income Total Company $1,012,500 100.0% 546,750 54.08 465,750 46.08 226,800 22.48 238,950 23.6% 162,000 16.00 76,950 7.68 office Chicago Minneapolis $ 202,500 1003 $ 810,000 100% 60, 750 308 486,000 608 141,750 703 324,000 408 105,300 528 121,500 158 $ 36,450 18 $ 202,500 25 Exercise 7-16 Part 1 Required: 1-a. Compute the companywide break-even point in dollar sales. 1-6. 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. Reg 1A Reg 1B Reg 10 Is the companywide break-even point greater than, less than or equal to the sum of the Chicago and Minneapolis break- even points? Greater than Less than Equal to Required information Exercise 7-16 Working with a Segmented Income Statement; Break-Even Analysis (L07-4, LO7-5) [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 variable costs. A contribution format segmented income statement for the company's most recent year is given: Sales Variable expenses Contribution margin Traceable fixed expenses office segment margin Common fixed expenses not traceable to offices Net operating incone Total Company $1,012,500 100.0% 546,750 54.04 465,750 46.08 226,800 22.40 238,950 162,000 16.00 76,950 7.64 Office Chicago Minneapolis $ 202,500 1000 $ 810,000 1003 60.750 30 486,000 601 141,750 708 324,000 405 105,300 520 121,500 150 $36,450 188 $ 202,500 250 Exercise 7-16 Part 2 2. Assume that sales in Chicago Increase by $67,500 next year and that sales in Minneapolis remain unchanged. Assume no change in fixed costs. a. Prepare a new segmented income statement for the company. (Round your percentage answers to 1 decimal place (ie. 0.1234 should be entered as 12.3)) Total Company Amount % Chicago Amount Segments Minneapolis Amount % 0 0.0 0 0.0 0 0.0 0 0.00 $ 0 0.0 $ 0 0.0 $ 0 0.0