Explain the reasons for involvement of analysts in segment disclosures.

Question

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Answer 1

Question

Chapter 12, Problem 1Q

To determine

Explain the reasons for involvement of analysts in segment disclosures.

Expert Solution & Answer

Explanation of Solution

Segment reports are envisioned to provide a view of the company from the management's perspective. Such information can help users of financial statements to boost their understanding about the company's performance, to better evaluate their expectations for potential net cash flows and to make more knowledgeable decisions about the company as a whole. Segment reports can provide valued vision into the productivity and capacity of a company to generate cash flow, and its ability to maintain it. Analysts prefer businesses with sales diversification and cash flow across various business divisions and with no revenue concentration for any single customer.

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Answer 2

Question

Chapter 12, Problem 1Q

To determine

Explain the reasons for involvement of analysts in segment disclosures.

Expert Solution & Answer

Explanation of Solution

Segment reports are envisioned to provide a view of the company from the management's perspective. Such information can help users of financial statements to boost their understanding about the company's performance, to better evaluate their expectations for potential net cash flows and to make more knowledgeable decisions about the company as a whole. Segment reports can provide valued vision into the productivity and capacity of a company to generate cash flow, and its ability to maintain it. Analysts prefer businesses with sales diversification and cash flow across various business divisions and with no revenue concentration for any single customer.

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Answer 3

Question

Chapter 12, Problem 1Q

To determine

Explain the reasons for involvement of analysts in segment disclosures.

Expert Solution & Answer

Explanation of Solution

Segment reports are envisioned to provide a view of the company from the management's perspective. Such information can help users of financial statements to boost their understanding about the company's performance, to better evaluate their expectations for potential net cash flows and to make more knowledgeable decisions about the company as a whole. Segment reports can provide valued vision into the productivity and capacity of a company to generate cash flow, and its ability to maintain it. Analysts prefer businesses with sales diversification and cash flow across various business divisions and with no revenue concentration for any single customer.

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Answer 4

Question

Chapter 12, Problem 1Q

To determine

Explain the reasons for involvement of analysts in segment disclosures.

Expert Solution & Answer

Explanation of Solution

Segment reports are envisioned to provide a view of the company from the management's perspective. Such information can help users of financial statements to boost their understanding about the company's performance, to better evaluate their expectations for potential net cash flows and to make more knowledgeable decisions about the company as a whole. Segment reports can provide valued vision into the productivity and capacity of a company to generate cash flow, and its ability to maintain it. Analysts prefer businesses with sales diversification and cash flow across various business divisions and with no revenue concentration for any single customer.

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Answer 5

Chapter 12, Problem 1Q

To determine

Explain the reasons for involvement of analysts in segment disclosures.

Expert Solution & Answer

Explanation of Solution

Segment reports are envisioned to provide a view of the company from the management's perspective. Such information can help users of financial statements to boost their understanding about the company's performance, to better evaluate their expectations for potential net cash flows and to make more knowledgeable decisions about the company as a whole. Segment reports can provide valued vision into the productivity and capacity of a company to generate cash flow, and its ability to maintain it. Analysts prefer businesses with sales diversification and cash flow across various business divisions and with no revenue concentration for any single customer.

Answer 6

Chapter 12, Problem 1Q

To determine

Explain the reasons for involvement of analysts in segment disclosures.

Expert Solution & Answer

Explanation of Solution

Segment reports are envisioned to provide a view of the company from the management's perspective. Such information can help users of financial statements to boost their understanding about the company's performance, to better evaluate their expectations for potential net cash flows and to make more knowledgeable decisions about the company as a whole. Segment reports can provide valued vision into the productivity and capacity of a company to generate cash flow, and its ability to maintain it. Analysts prefer businesses with sales diversification and cash flow across various business divisions and with no revenue concentration for any single customer.

Answer 7

Chapter 12, Problem 1Q

To determine

Explain the reasons for involvement of analysts in segment disclosures.

Answer 8

Expert Solution & Answer

Explanation of Solution

Segment reports are envisioned to provide a view of the company from the management's perspective. Such information can help users of financial statements to boost their understanding about the company's performance, to better evaluate their expectations for potential net cash flows and to make more knowledgeable decisions about the company as a whole. Segment reports can provide valued vision into the productivity and capacity of a company to generate cash flow, and its ability to maintain it. Analysts prefer businesses with sales diversification and cash flow across various business divisions and with no revenue concentration for any single customer.