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Ecru Company has identified five industry segments: plastics, metals, lumber, paper, and finance. ...

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Accounting

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 $ 6,470 $ 2,219 $ 666 $ 377 $ 0
Intersegment transfers 125 146 111 123 0
Interest income from outside parties 0 25 12 0 33
Interest income from intersegment loans 0 0 0 0 174
Operating expenses 4,034 1,672 976 609 22
Interest expense 67 22 57 28 93
Tangible assets 1,370 3,061 389 636 134
Intangible assets 78 376 0 54 0
Intersegment loans (debt) 0 0 0 0 679

Ecru does not allocate its $1,280,000 in common expenses to the various segments.

Perform testing procedures to determine Ecrus reportable operating segments.

Revenue test:

Profit or loss test:

Asset test:

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