Wingate Company, a wholesale distributor of electronic equipment, has been experiencing losses for some time, as shown by his most recent monthly contribution format income statement: Sales Variable expenses Contribution margin Fixed expenses Net operating income (Loss) $ 1,599,000 612,080 986,920 1,086,000 $ 199,680) 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 $389,00 42 $272,000 Division Central $630,000 391 $328,000 West $580,000 354 5197,000 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 15%. 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