Which of the Following Tests May Be Used to Determine

question 38

Multiple Choice

Which of the following tests may be used to determine if an industry segment of an enterprise is a reportable segment under FASB Statement No. 131?

• A) Its revenue (both from external customers and internal segments) is equal to or greater than 10 percent of total revenue (external and internal).
• B) The absolute value of its operating profit is equal to or greater than 10 percent of the total of the operating profit for all segments that reported profits (or the total of the losses for all segments that reported losses).
• C) The segment contains 10 percent or more of the combined assets of all operating segments.
• D) All of these.

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Definitions:

Persuasive Message

A communication designed to convince or influence the audience to adopt a certain viewpoint or to take a specific action.

Maslow's Theory

A psychological theory proposed by Abraham Maslow that suggests human needs are arranged in a hierarchy, from most to least pressing: physiological, safety, love/belonging, esteem, and self-actualization.

Audience

The group of people targeted by a message, performance, or work, who receive and interpret the content.

Drive

The motivation or determination to achieve something, often used in the context of personal or professional goals.