Baubee Meal Delivery Service (BMDS) provides restaurant to customer meal deliveries for food establishments in a suburban neighborhood. The company provides you with the following information for the third quarter of operations: 210,000 Sales revenue Variable costs of operations, excluding labor costs ( note a) Employee wages and salaries (note b) Manager salaries (note c) Fixed cost of delivery vans (note d) Building costs (rent, utilities, etc.) (note e) IT costs including support (note f) 52,000 63,000 15,000 14,000 9,200 30,000 Notes: a . 10 percent of this cost was wasted due to poor directions given to delivery van drivers. b . 10 percent of this cost was for time spent by delivery van drivers because of poor directions . c . 15 percent of this cost was time taken to address customer complaints d. The vans have 30 percent unused capacity e . The building has 20 percent unused capacity f . The IT system has 40 percent unused capacity Required: a . Using the traditional income statement format, prepare a value income statement b . What value would there be to the managers at BMDS from preparing the same information in the following quarters ?

Baubee Meal Delivery Service (BMDS) provides restaurant to customer meal deliveries for food establishments in a suburban neighborhood. The company provides you with the following information for the third quarter of operations: Notes: a. 10 percent of this cost was wasted due to poor directions given to delivery van drivers. b. 10 percent of this cost was for time spent by delivery van drivers because of poor directions. c. 15 percent of this cost was time taken to address customer complaints. d. The vans have 30 percent unused capacity. e. The building has 20 percent unused capacity. f. The IT system has 40 percent unused capacity. Required: a. Using the traditional income statement format, prepare a value income statement. b. What value would there be to the managers at BMDS from preparing the same information in the following quarters? Using the traditional income statement format, prepare a value income statement. Note: Loss amounts should be Indleated with a minus sign. a. Using the traditional income statement format, prepare a value income statement: b. What value would there be to the managers at BMDS from preparing the same information in the following quarters? Complete this question by entering your answers in the tabs bolow. What value would there be to the managers at BMDS from preparing the same information in the following quarters? Preparing a value income statement helps BMDS see whether he is improving in reducing nonvalue-added activities. Preparing a value income statement helps BMDS see whether he is improving in reducing valuo-added activities