Marshall Company is a large manufacturer of office furniture. The company has recently adopted lean accounting and has identified two value streams-office chairs and office tables. Total sales in the most recent period for the two streams are $250 and $315 million respectively In the most recent accounting period, Marshall had the following operating costs, which were traced to the two value streams as follows (in thousands) Chairs Tables Operating costs: Materials $ 16, 600 $14, 600 Labor 124,000 97,000 Equipment-related costs 44, 600 63,000 Occupancy costs 11,400 12,700 In addition to the traceable operating costs, the company had manufacturing costs of $121.750 million, and selling and administrative costs of $20 million that could not be traced to either value stream. Due to the implementation of lean methods, the firm has been able to reduce inventory in both value streams significantly. Marshall has calculated the fixed cost of prior period inventory that is included in the current income statement to be $6.0 million for the office chair stream and $20.0 million for the office table stream Required: Prepare, in good form (le, using Exhibit 17.17 as a guide), the value-stream income statement for Marshall Company (Enter your answers in thousands of dollars.) MARSHALL COMPANY Value Stream Income Statement (000s) Office Chairs Office Tables $ 250,000 5 315,000 $ Total 565,000 Prev1 of 2 3 Next > ere to search Otee w Required: Prepare, in good form (.e, using Exhibit 17 17 as a guide), the value-stream income statement for Marshall Company. (Enter answers in thousands of dollars.) MARSHALL COMPANY Value-Stream Income Statement (000s) Office Chairs Office Tables $ 250,000 $ 315,000 Total 565,000 ok $ Sales Operating costs: Material Labor $ s 16,600 124,000 44,600 11, 400 14,600 97,000 63.000 2,700 Equipment-related costs Occupancy costs 1 196,600 187,300 $ Total operating costs Value-stream profit before inventory change 383,900 0 $0 050 Value-stream profit Less: Nontraceable costs Total nontraceable fixed costs Operating income 5 0 SO Prev 1 of 2 !!! Next > be here to search