Which of the following is not a segment asset of an operating segment?
A)Assets used jointly by more than one segment.
B)Assets directly associated with a segment.
C)Assets maintained for general corporate purposes.
D)Assets used exclusively by a segment.

Question

Quizplus · Accepted Answer

Operating segments are evaluated based on the financial information that is regularly reviewed by the chief operating decision maker. The assets used jointly by more than one segment and assets directly associated with a segment are relevant to evaluate the performance and profitability of that segment. The assets maintained for general corporate purposes are not directly related to any particular segment and thus, are not considered a segment asset.

Which of the Following Is Not a Segment Asset of an Operating