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 House keeping $ 264,000 $ 408,000 $ 256,000 Meals On Home Nursing Wheels Total 928,000 Revenues Variable expenses Contribution margin 454,000 110,000 193,000 151,000 474,000 154,000 215,000 105,000 Fixed expenses: Depreciation Liability insurance Program administrators' 40,100 20,900 69,700 43,500 114,900 185,600 8,700 20,800 40,900 52,800 7,300 38,300 81,600 15,400 35,700 51,200 salaries General administrative overhead* Total fixed expenses 413,700 123,200 167,300 123,200 $60,300 $ 30,800 $ 47,700 $ (18,200) Net operating income (loss) 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 $60,300 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. 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