The Guidelines to Determine That a Segment Is Reportable in Accordance

question 50

Multiple Choice

The guidelines to determine that a segment is reportable in accordance with AASB 8 "Operating Segments" includes:

• A) Segment's reported revenue, including external customers and intersegment sales or transfers, is 10 per cent or more of the combined revenue, internal and external, of all operating segments;
• B) Segment's reported profit or loss is 10 per cent or more of the greater, in absolute amount, of (i) the combined reported profit of all operating segments that did not report a loss and (ii) the combined reported loss of all operating segments that reported a loss;
• C) Segment's assets are 10 per cent or more of the combined assets of all operating segments.
• D) Operating segments that do not meet any of the quantitative thresholds may be considered reportable, and separately disclosed, if management believes that information about the segment would be useful to users of the financial statements.
• E) All of the given answers.

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Definitions:

Disabled Customers

Individuals with disabilities served as customers, requiring businesses to consider accessibility and accommodation in their offerings.

Employees

Individuals who are hired by a business or organization to perform specific duties in exchange for compensation.

Fixed Layout Design

A type of facility layout where the position of the equipment, machinery, or workstations is fixed, typically used in manufacturing or processing environments with large, heavyweight products.

Restaurant

An establishment where meals are prepared and served to customers in exchange for money.