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$ $1,660,000$Variable expenses$734,800$Contribution margin$925,200$Fixed expenses$1,018,000$Net operating income $($loss$)$$ $(92,800)$ In an effort to resolve the problem, the company would like to prepare an income statement segmented by division. Accordingly, the Accounting Department has developed the following information: DivisionEastCentralWestSales$ $440,000$$ $660,000$$ $560,000$Variable expenses as a percentage of sales$60\%34\%44\%$Traceable fixed expenses$ $271,000$$ $327,000$$ $196,000$ Required:$1.$ Prepare a contribution format income statement segmented by divisions$\mathrm{.}2-$a$.$ The Marketing Department has proposed increasing the West Division's monthly advertising by $$25,000$ based on the belief that it would increase that division's sales by $14\%.$ 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?