2 Check my work 3 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 Part 1 of 3 Chicago Minneapolis Total Company 324,000 54.0% 276,000 46.0% -134,400 22.4 $600,000 100.0% $120,000 84,000 141,600 23.6% $ 21,600 100% $480,000 100% Sales Variable expenses Contribution margin Traceable fixed expenses Office segment margirn Common fixed expenses not traceable to offices Net operating income 36,000 30% 192,000 40% 288,00060 40.0% 8 308 70% 62,400 528 72,000 $120,000 15% points 18% 25% 96,000 45,600 16.0% 7.6% eBook Print References Required 1-a. Compute the companywide break-even point in dollar sales 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office 1-c. Is the companywide break-even point greater than, less than, or equal to the sum of the Chicago and Minneapolis break-even points? Complete this question by entering your answers in the tabs below Req 1A Req 1B Req 1C Compute the companywide break-even point in dollar sales. (Round "CM ratio" to 2 decimal places and final answer to the nearest whole dollar amount.) 2 Check my work 4 Required information The following information applies to the questions displayed below.] Part 2 of3 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: 3 points Office Total Company Chicago Minneapolis eBook Print References $600,000 100.0% $120,000 Sales Variable expenses Contribution margin Traceable fixed expenses Office segment margin Common fixed expenses not traceable to offices Net operating income $480,000 288,000 192,000 72,000 $120,000 100% 30% 324,000 54.0% 276,000 46.0% 134,400 22.4 141,600 23.68 21,600 100% 60% 40% 158 25% 36,000 30,000708 52% 18% 62,400523- . 96,000 16.03 7.6% $ 45,600 2. By how much would the company's net operating income increase if Minneapolis increased its sales by $60,000 per year? Assume no change in cost behavior patterns. Net operating income increase Check my work 5 84,000708 62,400 -708 192,000 Contribution margin Traceable fixed expenses Office Begment margin Common fixed expenses not traceable to offices Net operating income 276,000 46.0% 40% 15% 2 72,000 30 22.4% 434,400 141,600 23.6% $ 21,600 8% $120,000 25% 96,000 10-09- 45,600 7.6% Part 3 of 3 3. Assume that sales in Chicago increase by $40,000 next year and that sales in Minneapolis remain unchanged. Assume no change in fixed costs. points a. Prepare a new segmented income statement for the company. (Round your percentage answers to 1 decimal place (i.e. 01234 should be entered as 12.3).) eBook Segments Total Company Chicago Minneapolis Amount Amount Amount 0.0 0.0 0.0 0.0 $ 0.0$ 0.0 0.0