Ansfield, Inc. has several potentially reportable segments. The following financial information has been determined for the current fiscal year: The minimum amount of profit or loss a segment must have to qualify as reported is ____.
A)$100,000
B)$135,000
C)$150,000
D)The answer cannot be determined from the information given.

Question

Ansfield, Inc. has several potentially reportable segments. The following financial information has been determined for the current fiscal year:  The minimum amount of profit or loss a segment must have to qualify as reported is ____.
A)$100,000 
B)$135,000 
C)$150,000 
D)The answer cannot be determined from the information given.

Quizplus · Accepted Answer

An operating segment is reportable if its reported profit or loss is 10% or more of the greater, in absolute amount, of the combined profit of all operating segments that did not report a loss or the combined reported loss of all operating segments that did report a loss. As such, there is not enough information to make this determination.