Millard Corporation is a wholesale distributor of office products. It purchases office products from manufacturers and distributes them in the West, Central, and East regions. Each of these regions is about the same size and each has its own manager and sales staff. The company has been experiencing losses for many months. In an effort to improve performance, management has requested that the monthly income statement be segmented by sales region. The company’s first effort at preparing a segmented income statement for May is given below. Sales Region West Central East Sales $ 312,000 $ 796,000 $ 702,000 Regional expenses (traceable): Cost of goods sold 94,000 236,000 319,000 Advertising 100,000 236,000 237,000 Salaries 58,000 52,000 110,000 Utilities 8,500 16,300 14,000 Depreciation 21,000 31,000 28,000 Shipping expense 15,000 25,000 43,000 Total regional expenses 296,500 596,300 751,000 Regional income (loss) before corporate expenses 15,500 199,700 (49,000 ) Corporate expenses: Advertising (general) 17,000 40,000 35,000 General administrative expense 20,000 20,000 20,000 Total corporate expenses 37,000 60,000 55,000 Net operating income (loss) $ (21,500 ) $ 139,700 $ (104,000 ) The cost of goods sold and shipping expense are both variable. All other costs are fixed. Required: 3. Prepare a new contribution format segmented income statement for May. (Round percentage answers to 1 decimal place.)