Wingate Company, a wholesale distributor of electronic equipment, has been experiencing losses for some time, as shown by its most recent monthly contribution format income statement: Sales $ 1,595,000 Variable expenses 659,250 Contribution margin 935,750 Fixed expenses 1,029,000 Net operating income (loss) $ (93,250) 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: Division East Central West Sales $ 385,000 $ 620,000 $ 590,000 Variable expenses as a percentage of sales 43 % 33 % 49 % Traceable fixed expenses $ 258,000 $ 320,000 $ 203,000 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 $20,000 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