Question: this is all one question Required information {The following information applies to the questions displayed below) Raner, Harris and Chan is a consulting firm that

this is all one question
this is all one question Required information {The following information applies to
the questions displayed below) Raner, Harris and 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 $ 450,000 100% $ 150,000 1009 $

Required information {The following information applies to the questions displayed below) Raner, Harris and 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 $ 450,000 100% $ 150,000 1009 $ 300,000 1001 Variable expenses 225,000 50s 45,000 304 180,000 609 Contribution margin 225,000 509 105,000 705 120,000 409 Traceable fixed expenses 126,000 28% 78,000 52 48,000 165 Office segment margin 99,000 224 $ 27,000 18% $ 72,000 245 Common fixed expenses not traceable to offices 63,000 149 Net operating income 5 36,000 89 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. 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 br points? Complete this question by entering your answers in the tabs below. Show less Reg 1A Req 1B Reg 10 Compute the companywide break-even point in dollar sales. (Round "CM ratio" to 2 decimal places.) Break-even point in dollar sales Reg 1 Reg 1B > 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-ever- points? Complete this question by entering your answers in the tabs below. Show less Reg 1A Reg 18 Req 10 Compute the break-even point for the Chicago office and for the Minneapolis office. (Round "CM ratio" to 2 decimal places and final answers to the nearest whole dollar amount.) Break-even Point Chicago office Minneapolis office 2. By how much would the company's net operating income increase if Minneapolis increased its sales by $75,000 per year? Assume no change in cost behavior patterns. Net operating income increase 3. Assume that sales in Chicago increase by $50,000 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 percentage answers to 1 decimal place (le. 0.1234 should be entered as 12.3).) Total Company Amount % Chicago Amount Segments Minneapolis % Amount Assume that Minneapolis' sales by major market are: Market Dental $ 300,000 1004 180,000 605 488 115 52,000 100% 64 365 64 304 52 484 214 27 54 249 Sales Minneapolis Medical Variable expenses $ 200,000 $ 100,000 100% 128,000 Contribution margin 120,000 Traceable fixed expenses 72,000 48,000 33,000 12.000 21,000 Market segment margin 87,000 299 $ 60,000 $ 27,000 Common fixed expenses not traceable to markets 15,000 office segment margin $ 72,000 The company would like to initiate an intensive advertising campaign in one of the two market segments during the next month. The campaign would cost $5,000. Marketing studies indicate that such a campaign would increase sales in the Medical market by $40,000 or increase sales in the Dental market by $35,000. Required: 1. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? 2. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Market? 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Market? Company's profits | by Required: 1. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Medical Marke 2. How much would the company's profits increase (decrease) if it implemented the advertising campaign in the Dental Marke 3. In which of the markets would you recommend that the company focus its advertising campaign? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 How much would the company's profits increase (decrease) ir it implemented the advertisihe campaign in the Dental Market? Company's profits by

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