Which of the Following Is Not True for an Operating

question 24

Multiple Choice

Which of the following is not true for an operating segment according to U.S. GAAP?

• A) Discrete financial information generated by the internal accounting system is available.
• B) The segment recognizes revenues and incurs expenses.
• C) The segment is regularly reviewed by a chief decision maker to assess performance decisions.
• D) The segment is regularly reviewed by a chief decision maker to make resource allocations.
• E) An organizational unit cannot be an operating segment if all of its operating transactions are only with other segments of the organization.

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Definitions:

Daily Budget

An allocation of funds set aside for spending on specific tasks or activities within a single day.

Advertiser Risk

The potential for loss or negative outcomes faced by advertisers due to various factors such as audience reception, media placement errors, or campaign failures.

Exposure of Ads

The process of presenting an advertisement to a target audience to create awareness or generate interest.

Need to Connect

The human desire to form and maintain personal relationships and emotional bonds with others.