JNG Corp has 4 segments, the details of which are shown below. All figures are in thousands of dollars. $\begin{array}{|l|r|r|r|}
\hline \text { Segment } & \text { Revenues } & \text { Profits } & \text { Assets } \
\hline \mathrm{A} & \$ 12 & \$ 6 & \$ 40 \
\hline \mathrm{B} & \$ 60 & \$ 2 & \$ 80 \
\hline \mathrm{C} & \$ 35 & \$ 10 & \$ 80 \
\hline \mathrm{D} & \$ 200 & \$ 80 & \$ 20\\hline
\end{array}$
Using ALL of the applicable tests, which of the following segment(s) would be reportable?
A) A
B) A, B and C
C) A, B, C and D
D) B, C and D

Question

JNG Corp has 4 segments, the details of which are shown below. All figures are in thousands of dollars. $\begin{array}{|l|r|r|r|}
\hline \text { Segment } & \text { Revenues } & \text { Profits } & \text { Assets } \
\hline \mathrm{A} & \$ 12 & \$ 6 & \$ 40 \
\hline \mathrm{B} & \$ 60 & \$ 2 & \$ 80 \
\hline \mathrm{C} & \$ 35 & \$ 10 & \$ 80 \
\hline \mathrm{D} & \$ 200 & \$ 80 & \$ 20\\hline 
\end{array}$ 
Using ALL of the applicable tests, which of the following segment(s) would be reportable?
A) A
B) A, B and C
C) A, B, C and D
D) B, C and D

Quizplus · Accepted Answer

Segments are considered reportable based on three tests: the revenue test (10% of combined revenue), the profit or loss test (10% of the combined absolute profit or loss), and the asset test (10% of the combined assets). Here, all segments meet at least one of these criteria, making them all reportable.

JNG Corp Has 4 Segments, the Details of Which Are