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. Total Home Nursing Meals On House- Wheels keeping Revenues Variable expenses Contribution margin Fixed expenses: Depreciation. Liability insurance. Program administrators' salaries General administrative overhead* Total fixed expenses Net operating income (loss) *Allocated on the basis of program revenues. $ 924,000 $263,000 $ 404,000 $ 257,000 479,000 117,000 445,000 146,000 209,000 195,000 153,000 104,000 69,500 9,000 40,100 20,400 43,900 20,300 7,800 15,800 114,500 40,700 38,100 35,700 184,800 52,600 80,800 51,400 412,700 122,600 166,800 123,300 $ 32,300 $ 23,400 $ 28,200 $(19,300) The head administrator of Jackson County Senior Services, Judith Miyama, considers last year's net operating Income of $32,300 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? Complete this question by entering your answers in the tabs below. Req 1A Req 18 Req 2A Req 2B What is the financial advantage (disadvantage) of discontinuing the Housekeeping program? < Req 1A Req 1B >