In Determining If Two Operating Segments May Be Combined into One

question 31

Multiple Choice

In determining if two operating segments may be combined into one, which of the following factors should be considered?

• A)​similarities regarding profit margins
• B)​whether the nature of the products and services is similar
• C)​whether there is a similar amount of intracompany sales
• D)whether there is a similar number of employees​

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Definitions:

Glucocorticoids

A class of steroid hormones produced by the adrenal gland, involved in the regulation of metabolism and immune response.

Immune Response

The reaction of the body's immune system to foreign substances or pathogens, including the production of antibodies and other defense mechanisms.

Adrenal Medullary Hormones

Hormones secreted by the inner part of the adrenal glands, including adrenaline and noradrenaline, which play a role in the body's stress response.

Sympathetic Nervous System

A branch of the autonomic nervous system that activates what is often termed the fight or flight response, preparing the body for action.