Question - Ecru Company has identified five industry segments: plastics, metals, lumber, paper, and finance. It appropriately consolidated each of these segments in producing its annual financial statements. Information describing each segment (in thousands) follows:
| |
Plastics
|
Metals
|
Lumber
|
Paper
|
Finance
|
|
Sales to outside parties
|
$6,319
|
$2,144
|
$636
|
$347
|
0
|
|
Intersegment transfers
|
106
|
131
|
96
|
108
|
0
|
|
Interest income from outside parties
|
0
|
19
|
6
|
0
|
$27
|
|
Interest income from intersegment loans
|
0
|
0
|
0
|
0
|
159
|
|
Operating expenses
|
3,914
|
1,612
|
916
|
579
|
16
|
|
Interest expense
|
61
|
16
|
51
|
31
|
87
|
|
Tangible assets
|
1,291
|
2,986
|
314
|
561
|
104
|
|
Intangible assets
|
72
|
361
|
0
|
48
|
0
|
|
Intersegment loans (debit)
|
0
|
0
|
0
|
0
|
664
|
Ecru does not allocate its $1,250,000 in common expenses to the various segments. Perform testing procedures to determine Ecru's reportable operating segments.