Severo S.A. of Sao Paulo, Brazil, is organized into two divisions. The company's contribution format segmented income statement (in terms of the Brazilian currency, the real, R) for last month is given below. Divisions Total Company Cloth Leather Sales R 4,186,000 R 2,300,000 R 1,886,000 Variable expenses 1,874,760 1,020,000 854,760 Contribution margin 2,311,240 1,280,000 1,031,240 Traceable fixed expenses: Advertising 760,000 360,000 400,000 Selling and 570,000 270,000 300,000 administrative Depreciation 241,000 121,000 120,000 Total traceable fixed 1,571,000 751,000 820,000 expenses Save & Ch