[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: Office Sales Total Company $504,000 Chicago Minneapolis 100.00% $168,000 100.00% $336,000 100.00% Variable expenses 252,000 50.00% 50,400 30.00% 201,600 60.00% Contribution margin 252,000 50.00% 117,600 70.00% 134,400 40.00% Traceable fixed expenses 141,120 28.00% 87,360 52.00% 53,760 16.00% Office segment margin 110,880 22.00% $ 30,240 18.00% $ 80,640 24.00% Common fixed expenses not traceable to offices 70,560 14.00% Net operating income $ 40,320 8.00% Market Rinneapolis Medical Dental Sales Variable expenses $336,000 100.00% $224,000 100.00% $112,000 100.00% 201,600 60.00% 143,360 64.00% Contribution margin 58,240 52.00% 134,400 40.00% Traceable fixed expenses 80,640 36.00% 53,760 48.00% 36,960 11.00% 13,440 6.00% 23,520 21.0 Market segment margin Common fixed expenses not traceable to markets office segment margin 97,440 16,800 $ 80,640 29.00% $ 67,2001 30.00% $ 30,240 27.00% 5.00% 24.00% The company would like to initiate an intensive advertising campaign in one of the two market segments during the next month. The campaign would cost $5,600. Marketing studies indicate that such a campaign would increase sales in the Medical market by $44,800 or increase sales in the Dental market by $39,200. Required: 1. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? 2. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Market? 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 31 How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? Required: 1. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? 2. How much would the company's profits Increase (decrease) if it implemented the advertising campaign in the Dental Market? 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? Company's profes Required 1 Required 2 > Required: 1. How much would the company's profits Increase (decrease) if it implemented the advertising campaign in the Medical Market? 2. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Market? 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required I Required 2 Required 3 How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Market? Company's profits DV Required: 1. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? 2. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Market? 3. in which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required 3 Required 2 Required 3 In which of the markets would you recommend that the company focus its advertising campaign? Medical Dental