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 Pixed expenses Net operating income (loss) $1,672,000 616,480 1,055, 520 1,161,000 (105,480) 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 Central $382,000 $700,000 $590,000 East West Sales Variab Traceable fixed expenses le expenses as a percentage of sales 59 23% $251,000 $329,000 $204,000 $204 39 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 $20,000 based on the belief that it would increase that division's sales by 17%. 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