Similar Operating Segments May Be Combined If the Segments Have

question 40

Multiple Choice

Similar operating segments may be combined if the segments have similar economic characteristics.Which one of the following is a similar economic characteristic under GAAP?

• A)The segments' management teams
• B)The tax reporting law sections
• C)The distribution method for products or services
• D)The expected rates of return and risk for the segments' productive assets

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Definitions:

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