Segment Repoting Flashcards
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Started on 1 September 2014 @8.75 PM
Total questions 20
To do at a time 20
Practice session 95 or so Wiley is not recording.
The following information pertains to Been Corp. and its operating segments for the year ended December 31, year 1:
Total revenues $80,000,000
Sales to external customers (included in total) $30,000,000
External revenue reported by reportable operating segments must be at least
$22,500,000
After the 10% tests are completed, a 75% test must be performed.
The term chief operating decision maker
Refers to a function.
The function of the chief operating decision maker is to allocate resources and assess the performance of the segments of an enterprise.
Under IFRS, the approach used in segment reporting is known as
Management approach.
US GAAP uses the same approach.
In financial reporting for segments of a business enterprise, segment data may be aggregated
Before performing the 10% tests if all of the aggregation criteria are met.
Aggregation can occur prior to performing the 10% tests if the enterprise desires.
two or more operating segments may be aggregated into a single operating segment if all of the aggregation criteria are met, or if after performing the 10% test a majority of the aggregation criteria are met.
