The Marshall Company is a large manufacturer of office furniture. The company has recently adopted lean accounting and has identified two value streamsoffice chairs and office tables. Total sales in the most recent period for the two streams are $300 and $365 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	$ 17,600	$15,600
Labor	134,000	102,000
Equipment-related costs	45,600	65,000
Occupancy costs	11,900	13,700

In addition to the traceable operating costs, the company had manufacturing costs of $171,750,000 and selling and administrative costs of $45 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 and has calculated the fixed cost of prior period inventory that is included in the current income statement to be $6.5 million for the office chair stream and $25 million for the office table stream.

Required:

Prepare the value-stream income statement for Marshall Company. (Enter your answers in thousands of dollars.)