Accounting report (in thousands of dollars) More info FSD has determined that each of the two product lines represents a distinct value stream. It has also determined that out of the $170,000($30,000+$40,000+$85,000+$15,000) plant-level facility costs, product A occupies 25% of the plant's square footage, product B occupies 15%, product C occupies 20%, and product D occupies 30%. The remaining 10% of square footage is not being used. Finally, FSD has decided that in order to identify inefficiencies, direct material should be expensed in the period it is purchased, rather than when the material is used. According to purchasing records, direct material purchase costs during the period were as follows: Requirements 1. What are the cost objects in FSD's lean accounting system? 2. Compute operating income for the cost objects identified in requirement 1 using lean accounting principles. What would you compare this operating income against? Comment on your results. Requirement 1. What are the cost objects in FSD's lean accounting system? The cost object in lean accounting is the FSD has identified the following area(s): Use the table below to compute operating income for the cost objects identified in requirement 1 using lean accounting principles. (Enter all amounts in thousands.) What would you compare this operating income against? Comment on your results. FSD's operating income using lean accounting principles should be compared against If the total plant-level costs are slightly higher than the total value stream costs for both Mechanical Devices and Electronic Devices and the Value-stream operating incom analyses allocated corporate overhead costs because these costs be controlled or influenced by plant-level managers