Vukcan Company's contribution format income statement for June is as follows: Management is disappointed with the company's performance and is wondering what can be done to improve profits. Ay examining sales and cost records, you have determined the following: a. The company is divided into two sales territories -Northem and Southern. The Northetn Territory recorded $400.000 in sales and $200,000 in vatiable expenses during June: the remaining sales and variable expenses were recorded in the Southem Tertitory. Fixed expenses of $172.000 and $135,000 are traceable to the Northern and Southern Teritories, respectively. The rest of the fixed expenses are common to the two terntories. b. The company is the exclusive distributor for two broducts-Paks and Tibs. 53 les of Paks and Ths totaled $200,000 and $200,000, respectively, in the Northern territory during June. Varibble expentes are 265 of the selling price for Paks and 745 for Tibs. Cost records show that $94.000 of the Northern Territory's fxed expenses are traceablo to Paks and $42.000 to Tibs. with the remainder common to the two products. Mequired: 1-a. Prepare contribution format segmented income statements for the total company broken down between sales teritionies. th. Prepare contribution format segmented income statements for the Northem Teritory broken down by product ine. Complete this question by entering your answers in the tabs below