Which of the Following Is True Concerning Segment Disclosures

question 20

Multiple Choice

Which of the following is true concerning segment disclosures?

• A) The European Union requires sales but not profit data by segments.
• B) Forecasts based on consolidated data are more accurate than those based on segmented data due to intercompany transfers.
• C) The U.S. requires extensive social disclosures of its segmented data.
• D) The British require segment sales based on source but not destination.

Know how to adjust the available-for-sale security portfolio to fair value and its reporting on financial statements.

Calculate the changes in Retained Earnings due to investments and dividends.

Understand and apply the cost method for reporting investments in other companies.

Record and report transactions involving bonds and bond interest.

---

Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.