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Required information [The following information applies to the questions displayed below) Raner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two offices-one in Chicago and one in Minneapolis. The firm classifies the direct costs of consulting jobs as variable costs. A contribution format segmented income statement for the company's most recent year is given: Office Total Company Chicago Minneapolis Sales $ 490,580 100.00 $ 163,500 100.00 $ 327,000 100.000 Variable expenses 245, 250 50.00 49,050 30.00 196,200 60.005 Contribution margin 245, 250 50.00 114,450 70.00% 130,800 40.00% Traceable fixed expenses 137,340 28.00% 85,020 52.00% 52,320 16.80 Office segment margin 107,910 22.00% $ 29,430 18.00 $ 78,480 24.009 Common fixed expenses not traceable to offices 68,670 14.00% Net operating income $ 39, 240 8.00% 3. Assume that sales in Chicago increase by $54,500 next year and that sales in Minneapolis remain unchanged. Assume no change in fixed costs. a. Prepare a new segmented income statement for the company. (Round your intermediate calculations and percentage answers to 1 decimal place (i.e. 0.1234 should be entered as 12.3 and other answers to the nearest whole dollar.)) Segments 3. Assume that sales in Chicago increase by $54,500 next year and that sales in Minneapolis remain unchanged. Assume no change in fixed costs. a. Prepare a new segmented income statement for the company. (Round your intermediate calculations and percentage answers to 1 decimal place (i.e. 0.1234 should be entered as 12.3 and other answers to the nearest whole dollar)) Total Company Amount $ 545,000 Chicago Amount 100.0 $ 210,000 Segments Minneapolis Amount % 100.0 5 327,000 100.0 30.0 60.0 70.0 327,000 40.0 16.0 700$ 327,000 24,0 545,000 100.0 Sales Variable expenses Contribution margin Traceable fixed expenses Office segment margin Common fixed expenses not traceable to segments Net operating income 218,000 545,000 100,0 $ 218,000 $ 545,000 100.0

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