How does the income statement reflect the profit/loss in value-stream reporting?
A)by individual product line
B)by activity
C)by value stream
D)by customer

Question

Quizplus · Accepted Answer

In value-stream reporting, the income statement reflects the profit/loss by value stream. This means that the income and costs associated with each value stream are analyzed separately, rather than being combined with other activities or product lines. This provides a more detailed and accurate picture of the profitability of each value stream, which can help identify areas for improvement and optimize overall business performance. Therefore, choice C is the best answer option.

How Does the Income Statement Reflect the Profit/loss in Value-Stream