In determining if two operating segments may be combined into one, which of the following factors should be considered? a. similarities regarding profit margins b. whether the nature of the products and services is similar c. whether there is a similar amount of intracompany sales d. whether there is a similar number of employees

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter6: Accounting For Financial Management
Section: Chapter Questions
Problem 6Q: Explain the difference between NOPAT and net income. Which is a better measure of the performance of...
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In determining if two operating segments may be combined into one, which of the following factors should be considered?

a.

similarities regarding profit margins

b.

whether the nature of the products and services is similar

c.

whether there is a similar amount of intracompany sales

d.

whether there is a similar number of employees

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