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Required information [The following information applies to the questions displayed below.] Raner, Harris & 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 & 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 $ 975, 000 100.0% $ 195, 000 100% $ 780, 000 100% Variable expenses 526, 500 54.0% 58, 500 30% 468, 000 60% Contribution margin 448, 500 46.0% 136, 500 70% 312, 000 40% Traceable fixed expenses 218, 400 22. 4% 101, 400 52% 117 , 000 15% Office segment margin 230, 100 23.6% $ 35, 100 18% $ 195, 000 25% Common fixed expenses not traceable to offices 156, 000 16.0% Net operating income $ 74, 100 7. 6% 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

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