The following informations 10 me questione del Raner Hanis & Chanis a consulting from that specializes in information systems for medical and dental clinics. The firm has two otion in Chicago and one in Minneapolis Them classifies the direct costs of consulting an verble cous A contribution format sented income statement for the company's most recent years given om Total Company Chicago Marpol Series 5 5171000 SW/DX100 Variables 252.000 50 30 1200 CM Contribution margin 2520000 wa 20 Traceable fixed expenses 141120 280 32.000 52820 761 Office segment 1080 22 5360 STRO 24 Common fred expenses not traceable to offices 70,560 14 Net operating income 560320 Assume that Minneapolis by major market are Sales Variable expenses Contribution margin Traceable fixed expenses Office segment margin Common and expenses not traceable to offices Net operating income Minneapol $327.000 100% 196200 60% 130 600 40 59.32010 78.480 209 150005 563.40 105 Market Media Dental $20.000 $1.000 100 151.000 56% 70 720 54 BLOOM 052808 14160 6 28500 211 570.800305 $36.720213 The company would like to intate an intensive advertising campaign in one of the two market segments during the next month. The campaign would cost $14.000 Martin studies indicate that such a campaign would increase sales in the Medical market by $58.000 or increases in the Dental market by 562.000 Required: 1. How much would the company's profits increase (decrease it implemented the advertising campaign in the Medical Market 2. How much would the company's profits increase (decrease implemented the advertising campaign in the Dental Market? 3. In Which of the markets would you recommend that the company focus is advertising campaign? Complete this question by entering your answers in the tabs below. Required: Required 2 Required How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? Company's profits by Required 2 > Assume that Minneapolis sales by major market are Sales Variable expenses Contribution margin Traceabled expenses office segment margin Common fixed expenses not treceable to offices Net operating income Minneapolis 3327.000 100% 190 20000 130.800 40% 2320 10 78.450 24% 15,000 5% 5634101 Market Medical Denta 3 286,000 100W 5 136 000 100% 151010649 70720 52% 84,660369 05.200 40 14.100 20500211 $ 70.800 30 536.720 27 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 $14.000 Marketingudes indicate that such a campaign would increase sales in the Medical market by $58.000 or increases in the Dental market by 502.000 Required: 1 How much would the company's profits increase (decrease it implemented the advertising campaign in the Medical Market? 2. How much would the company's profits increase (decrease it momented the advertising campaign in the Dental Market 3. In which of the markets would you recommend that the company focus is advertising orign? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Market? Company's profits (Required 1 Required 3 >
