Wingate Company, a wholesale distributor of electronic equipment, has been experiencing losses for some time, as shown by its most recent monthly contribution format income statement: Sales $ 1,666,666 Variable expenses 396,666 Contribution margin 616,666 Fixed expenses 625,666 Net operating income (loss) $ (15,666) In an effort to resolve the problem, the company would like to prepare an income statement segmented by division. Accordingly, the Accounting Department has developed the following information: Division East Central Nest Sales $ 250,3:39 $ 466,666 5 ammo-9 Variable expenses as a percentage of sales 52% 36% 46% Traceable fixed expenses $ 156,666 $ 266,666 $ 1?5,666 Required: 1. Prepare a contribution format income statement segmented by divisions. 2a. The Marketing Department has proposed increasing the West Division's monthly advertising by $15,000 based on the belief that it would increase that division's sales by 20%. Assuming these estimates are accurate, how much would the company's net operating income increase [decrease] if the proposal is implemented? 2-b. Would you recommend the increased advertising? Req 1 Req 2A Req 2B Prepare a contribution format income statement segmented by divisions. Division Total Company East Central WestComplete this question by entering your answers in the labs below. The Marketing Department has proposed increasing the West Division's monthlyl advertising by $15,000 based on the belief that it would increase that division's sales by 20%. Assuming these estimates are accurate, how much would the company's net operating income increase {decrease} if the proposal is implemented? _:I:|