Question: Problem 1 3 - 2 1 ( Static ) Dropping or Retaining a Segment [ LO 1 3 - 2 ) 1 0 pointsJackson County

Problem 13-21(Static) Dropping or Retaining a Segment [LO13-2)10pointsJackson County Senior Services is a nonprofit organization providing three services to seniors who live in their own homes -home nursing, Meals on Wheels, and housekeeping. Revenue and expense data for the past year follow:0900ReferencesHomeMeals onTotalNursingWheelsHousekeepingRevenues$ 900,000$ 260,000$ 400,000$ 240,000Variable expenses490,000120,000210,000160,000Contribution margin410,000140,000190,00080,000Fixed expenses:Depreciation68,0008,00040,00020,000Liability insurance42,00020,0007,00015,000Program administrators' salaries115,00040,00038,00037,000General administrative overhead*180,00052,00080,00048,000Total fixed expenses405,000120,000165,000120,000Net operating income (loss)$ 5,000$ 20,000$ 25,000$ (40,000)*Allocated on the basis of program revenues.The head administrator of Jackson County Senior Services, Judith Miyama, is considering discontinuing the housekeeping program.The depreciation in housekeeping is for a small van 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 was dropped, but the liability insurance and the salary of the program administrator - would be avoided.Required:1.a What ic the finanrial arvantane Idicarvantane) nf dicrontinuinn the Hnusekeeninn nronram?Prev8of 8Next >esc12#35CkQ7WSEDRFG Search or type URL%5TGY&HCV40PLKUNstv

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