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 $ 924,000 $ 264,000 $ 410,000 $ 250,000 Variable expenses 465,000 114,000 191,000 160,000 Contribution margin 459,000 150,000 219,000 90,000 Fixed expenses: Depreciation 70,000 8,500 40,600 20,900 Liability insurance 44,000 20,800 7,200 16,000 Program administrators salaries 114,900 40,700 38,100 36,100 General administrative overhead* 184,800 52,800 82,000 50,000 Total fixed expenses 413,700 122,800 167,900 123,000 Net operating income (loss) $ 45,300 $ 27,200 $ 51,100 $ (33,000) *Allocated on the basis of program revenues. The head administrator of Jackson County Senior Services, Judith Miyama, considers last years net operating income of $45,300 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. 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?