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Required information [The following information applies to the questions displayed below.) Raner, Harris and Chan is a consulting firm that specializes in Information systems for

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Required information [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: a Sales Variable expenses Contribution margin Teaceable fixed expenses office segment margin Connon fixed expenses not traceable to offices Net operating Incone Total Company $ 463,500 100% 231,250 50$ 231,750 SON 129,780 281 101,970 224 64.890 141 $ 37,080 Office Chicago Minneapolis $ 154,500 1000 $ 309,000 100N 46,350 304 185,400 604 108,150 -700 123,600 404 80,140 520 49,440 16 $ 27,810 18$ $ 74,160 240 2. By how much would the company's net operating income increase il Minneapolis increased its sales by $77,250 per year? Assume no change in cost behavior patterns. Net operating income increase

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