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 Variable expenses Contribution margin Fixed expenses Net operating income (loss) $ 1,590, eee 666,300 923,700 1,016,000 $ (92,300) 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 Sales Variable expenses as a percentage of sales Traceable fixed expenses East $440,000 56% $ 265,000 Division Central $ 610,000 29% $ 334,000 West $540,000 45% $ 199,000 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 $21,000 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? 2-5 Would you recommend the increased advertising