Exercise 11.3 Working with a Segmented Income Statement [LO1] Middleton Associates is a consulting firm that speclalizes in information systems for construction and landscaping companies. The firm has two offices-one in Toronto and one in Vancocrver. The firm classifies the direct costs of consulting jobs as variable costs. A segmented contribution format income statement for the company's most recentyenr is glven befow: Required: 1. By how much would the company/s operating income increase if Vancouver increased its sales by $75,000 per year? Assume no change In cost behaviour patterns. 2-o. Refer to the original data. Assume that sales in Toronto increase by $50,000 next year and that sales in Vancouver remain unchanged. Assume no change in fixed costs. Prepare a new segmented income statement for the company. (Round your percentoge answers to 1 decimal place.)