Which of the following is a true statement pertaining to segment income statements?
A)Present the individual segments' net income.
B)Variable costs should be reported by segment.
C)Do not present a segment margin.
D)Do not include arbitrarily allocated common fixed expenses when calculating segment margin.

Question

Quizplus · Accepted Answer

Segment income statements should not include arbitrarily allocated common fixed expenses when calculating segment margin, as these expenses do not directly relate to the segment's operations.

Which of the Following Is a True Statement Pertaining to Segment