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: Meals OnHouse- keeping $923,000 265,000 $ 403,000 $ 255,000 157, 000 98,000 Home Total Nursing Wheels Revenues Variable expenses Contribution margin Fixed expenses: 464,000 112,000 195, 000 459, 000 153,000 208,000 8,900 20,500 40,300 53,000 413,400 122,700 166, 800 69,400 44,000 115,400 184,600 20,300 15,700 36,900 51,000 123,900 $45,600 30,300 $ 41,200 $ (25,900) 40,200 7,800 38,200 80,600 Depreciation Liability insurance Program administrators' salaries General administrative overhead* Total fixed expenses 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 $45,600 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