! Required information SB Exercise 7-16 through Exercise 7-17 (Static) [The following information applies to the questions displayed below.) Raner, Harris and 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 $ 450,000 100% 225,000 50% 225,000 50% 126,000 28% 99,000 22% 63,000 14% $ 36,000 8 % office Chicago Minneapolis $ 150,000 1008 $ 300,000 1008 45,000 308 180,000 608 105,000 708 120,000 40% 78,000 52% 48,000 16% $ 27,000 18% $ 72,000 24% Exercise 7-16 Part 2 (Static) Working with a Segmented Income Statement; Break-Even Analysis (L07-4, LO7-5] 2. By how much would the company's net operating income increase if Minneapolis increased its sales by $75,000 per year? Assume no change in cost behavior patterns. Net operating income increase