Vingate Company, a wholesale distributor of electronic equipment, has been experiencing losses for some time, as shown by its ecent monthly contribution format income statement Sales Variable expenses Contribution margin Fixed expenses Net operating income (loss) $1,640,000 667,800 972,200 1,069,000 $ (96,800) In an effort to resolve the problem, the company would like to prepare an income statement segmented by division. Accordingly, Accounting Department has developed the following information: Division East Central West Sales $450,000 $620,000 $570,000 Variable expenses as a percentage of sales 44% 39% 40% Traceable fixed expenses $252, eee $337,000 $192,000 Required: 1. Prepare a contribution format income statement segmented by divisions. 2-a. The Marketing Department has proposed increasing the West Division's monthly advertising by $24,000 based on the belief t would increase that division's sales by 16%. Assuming these estimates are accurate, how much would the company's net operating income increase iderrease if the nrannsal is Implemented