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Wingate Company, a wholesale distributor of electronic equipment, has been experiencing losses as shown by its most recent monthly contribution format income statement: In an

Wingate Company, a wholesale distributor of electronic equipment, has been experiencing losses as shown by its most
recent monthly contribution format income statement:
In an effort to resolve the problem, the company wants to prepare an income statement segmented by division.
Accordingly, the Accounting Department provided the following information:
Required:
2-a. The Marketing Department believes increasing the West Division's monthly advertising by $30,000 will increase that
division's sales by 11%. Assuming these estimates are accurate, how much would the company's net operating income
increase (decrease) if the proposal is implemented?
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