Flashcards in Segment Reporting Deck (9)
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1
GAAP requires ______ by major segment to allow for assessment.
disclosures
2
An ______ _______ is a significant component of operations that generates revenue and expenses, has a chief operating decision maker, and provides financial information about its operations.
Operating Segment
3
All operating segments are reportable segments. TF
False
4
What is a reportable segment?
An operating segment that meets ANY threshold of:
(1) 10% or greater of its combined revenues
(2) 10% or greater than the highest absolute P or L between the segments
(3) or 10% or greater of the COMBINED assets of all operating segments.
(4) The 75% revenue rule: (sales to unaffiliated customers/consolidated revenues) must be 75% or greater of consolidated revenues
5
Generally the max amount of reportable segments is ___?
10
6
If a single buyer account contributes greater than 10% of revenue to a firm's total revenue, that must be disclosed. TF
True
7
What info should a public company present about revenues from foreign operations?
SEPARATE disclosures of sales to customers and intracompany sales between geographical areas
8
If a firms identifiable assets are > 10% of the whole it is reported. TF
True
9
