Trevor Company Discloses Supplementary Operating Segment Information for Its Three

question 43

Multiple Choice

Trevor Company discloses supplementary operating segment information for its three reportable segments.Data for 20X8 are available as follows:
Allocable costs for the year was $180,000.Allocable costs are assigned based on the ratio of a segment's income before allocable costs to total income before allocable costs.The 20X8 operating profit for Segment B was:

• A)$110,000
• B)$180,000
• C)$126,000
• D)$120,000

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Definitions:

Management Evaluation

The process of assessing and reviewing the performance, skills, and effectiveness of managers within an organization.

Debt Investments

Investments made by purchasing bonds or other debt instruments, typically generating income from interest payments.

Interest Income

Income earned by an individual or entity from various types of investments that pay interest, such as savings accounts, bonds, or loans provided to others.