Please help answer required questions 1-2

PROBLEM 7-19 Dropping or Retaining a Segment [LO 7-2 Jackson County Senior Services is a nonprofit organization devoted to providing essential ser- vices 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: Home Meals On House- Total Nursing Wheels keegn $900,000 $260,000 $400,000 $240,000 60,000 140,000 0,000 80,000 490,000 120,000 Variable expenses. . .. 210,000 190,000 Contribution margin. .10,000 Fixed expenses: 40,000 7,000 38,000 80,000 68,000 42,000 8,000 20,000 115000 40,000 20,000 15,000 37,000 48,000 Depreciation Program administrators salaries.... General administrative overhead... 180,000 52,000 Total fixed expenses Net operating income (loss).. Allocated on the basis of program revenues 405,000 120,000165,000120,000 $ 5,000 20,000 25,000 $(40,000)