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 seniorshome nursing, Meals On Wheels, and housekeeping. Data on revenue and expenses for the past year follow: Total Home Nursing Meals On Wheels House-keeping Revenues $ 929,000 $ 268,000 $ 406,000 $ 255,000 Variable expenses 473,000 119,000 198,000 156,000 Contribution margin 456,000 149,000 208,000 99,000 Fixed expenses: Depreciation 69,700 8,800 40,200 20,700 Liability insurance 44,400 20,900 8,000 15,500 Program administrators salaries 114,600 40,900 38,600 35,100 General administrative overhead* 185,800 53,600 81,200 51,000 Total fixed expenses 414,500 124,200 168,000 122,300 Net operating income (loss) $ 41,500 $ 24,800 $ 40,000 $ (23,300) *Allocated on the basis of program revenues. The head administrator of Jackson County Senior Services, Judith Miyama, considers last years net operating income of $41,500 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. Required: 1-a. What is the financial advantage (disadvantage) of discontinuing the Housekeeping program? 1-b. Based on the financial advantage (disadvantage) of discontinuing the Housekeeping program calculated in requirement Req 1A, should the Housekeeping program be discontinued? 2-a. Prepare a properly formatted segmented income statement. 2-b. Would a segmented income statement format be more useful to management in assessing the long-run financial viability of the various services?