If an Operating Segment Does Not Meet All of the Thresholds

question 12

Multiple Choice

If an operating segment does not meet all of the thresholds of significance, it:

• A) may not be designated as a reportable segment;
• B) may still be designated as a reportable segment;
• C) must be combined with the largest of the other segments and reported in aggregate;
• D) is insignificant and cannot be reported separately.

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Definitions:

Poverty Line

A threshold income level below which an individual or family is considered financially incapable of meeting basic living expenses.

Quartile

A statistical term describing each of four equal groups into which a population can be divided based on a particular variable.

Annual Family Income

The total amount of money earned by all members of a family within one year.

Income Distribution

The way in which total income is shared amongst the members of a society, often analyzed to understand the extent of economic inequality.