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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
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: Total Company Chicago Office Minneapolis $ 486,000 100% $ 162,000 100% $ 324,000 100% Sales Variable expenses Contribution margin Traceable fixed expenses Office segment margin Common fixed expenses not traceable to offices Net operating income 243,000 50% 48,600 30% 194,400 60% 243,000 50% 113,400 70% 129,600 40% 136,080 28% 84,240 52% 51,840 16% 106,920 22% $ 29,160 18% $ 77,760 24% 68,040 14% $ 38,880 8% 3. Assume that sales in Chicago increase by $54,000 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 intermediate calculations and percentage answers to 1 decimal place (i.e. 0.1234 should be entered as 12.3 and other answers to the nearest whole dollar.)) Segments Total Company Chicago Amount Amount Minneapolis Amount
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