Which of the following does U.S. GAAP not consider to be an objective of segment reporting? a.It helps users better understand the enterprise’s performance. b. It helps users better assess the enterprise’s prospects for future cash flows. c. It helps users make more informed judgments about the enterprise as a whole. d. It helps users make comparisons between a segment of one enterprise and a similar segment of another enterprise
Which of the following does U.S. GAAP not consider to be an objective of segment reporting?
a.It helps users better understand the enterprise’s performance.
b. It helps users better assess the enterprise’s prospects for future cash flows.
c. It helps users make more informed judgments about the enterprise as a whole.
d. It helps users make comparisons between a segment of one enterprise and a similar segment of another enterprise
21. Livro Company has three operating segments with the following information:
Books Calendars Bags
Sales to outsiders $12,000 $9,000 $8,000
Intersegment transfers 1,000 500 1,500
In addition, corporate headquarters generates revenues of $2,000.
What is the minimum amount of revenue that each of these segments must generate to be considered separately reportable?
a.$2,900
b.$3,200
c.$3,300
d. $3,400
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