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: Revenues Variable expenses Contribution margin Fixed expense Depreciation Liability insurance Progran administrators' salaries General administrative overhead Total fixed expenses Net operating income (loss). "Allocated on the basis of program revenues. Home Meals On Total $ 921,000 473,000 Nursing $265,000 Wheels $406,000 Bouse- keeping. $ 250,000 119,000 200,000 154,000 448,000 146,000 206,000 96,000 70,100 9,000 40,600 20,500 43,600 20,400 7,500 15,700 113,600 40,400 30,000 35,200 184,200 53,000 81,200 50,000 411,500 122,800 167,300 121,400 $ 36,500 $23,200 $ 38,700 $ (25,400) The head administrator of Jackson County Senior Services, Judith Miyama, considers last year's net operating income of $36,500 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.