The Management Approach to Segmental Reporting

question 8

Multiple Choice

The management approach to segmental reporting

• A)​focuses on how management organizes information for internal decision making.
• B)​requires that the company's chief executive officer decide what segments will be reported.
• C)​separates the costs of management from the costs of operations to determine segment profit or loss.
• D)​is required only in the United States.

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Definitions:

Congress

The United States' national legislative entity, comprised of the Senate and the House of Representatives.

Basic Weakness

Fundamental flaws or vulnerabilities in a system, individual, or organization that can lead to its downfall or failure.

Articles of Confederation

The original constitution of the 13 American states, ratified in 1781, which was eventually replaced by the U.S. Constitution due to its weaknesses.

Inability to Raise Funds

Describes a situation, often in political campaigns or non-profit organizations, where there is a significant challenge or failure in generating the necessary financial support to sustain operations or reach goals.