Home Meals On House- Total Nursing Wheels keeping Revenues $928,800 $ 269,000 $ 403,800 $ 256,000 Variable expenses 461,000 117,eee 193,000 151, eee Contribution margin 467,080 152,000 210,000 105,000 Fixed expenses: Depreciation 69,900 8,800 40,900 2e, 200 Liability insurance 43,200 20,300 7,780 15, 200 Program administrators' salaries 114,900 40,200 38,500 36,200 General administrative overhead 185,600 53, see 89,600 51,200 Total fixed expenses 413,600 123, 100 167,700 122,800 Net operating income (loss) $ 53,400 $ 28,900 $ 42,300 $(17,880) Allocated on the basis of program revenues The head administrator of ABC Services, considers last year's net operating income of $53,400 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 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 ability insurance and the salary of the program administrator would be avoided Required: 1-a. What is the financial advantage (disadvantage) of discontinuing the Housekeeping program? 1-6. Based on the financial advantage (disadvantage) of discontinuing the Housekeeping program calculated in requirement Reg 1A should the Housekeeping program be discontinued? 2-3. Prepare a properly formatted segmented Income statement 2-6. Would a segmented income statement format be more useful to management in assessing the long-run financial viability of the various services