2 6.25 points Jackson County Senior Services is a nonprofit organization devoted to providing essential services to seniors who live in their own homes within the Jackson County area. Three services are provided for seniors-home nursing, Meals On Wheels, and housekeeping. Data on revenue and expenses for the past year follow: eBook Print Revenues Variable expenses Contribution margin Fixed expenses: Depreciation Liability insurance Program administrators' salaries General administrative overhead* Total fixed expenses Net operating income (loss) Total Home Nursing Meals On Wheels $ 405,000 190,000 215,000 House- keeping $ 256,000 151,000 $ 924,000 461,000 463,000 $ 263,000 120,000 143,000 105,000 69,400 8,700 40,400 20,300 43,200 20,200 7,300 15,700 115,200 40,600 38,500 36,100 184,800 52,600 81,000 51,200 412,600 122,100 167,200 123,300 $ 50,400 $ 20,900 $ 47,800 $ (18,300) References "Allocated on the basis of program revenues. The head administrator of Jackson County Senior Services, Judith Miyama, considers last year's net operating income of $50,400 to be unsatisfactory; therefore, she is considering the possibility of discontinuing the housekeeping program. The depreciation in housekeeping is for a small van that is used to carry the housekeepers and their equipment from job to job. If the program were discontinued, the van would be donated to a charitable organization. None of the general administrative overhead would be avoided if the housekeeping program were dropped, but the liability insurance and the salary of the program administrator would be avoided. CH