Which of the following are reasons to report segmented accounting information for multinational enterprises?
A)There are different risks in different parts of the world that a reader may need to know about.
B)Different lines of business have different levels of risk that may affect business success.
C)Growth opportunities differ from one nation to another that could affect share value.
D)All of the above are reasons for segmented reporting.

Question

Quizplus · Accepted Answer

All of the given reasons are valid and important for reporting segmented accounting information for multinational enterprises. Different parts of the world may pose different risks, different lines of businesses may have varying levels of risk, and growth opportunities may vary significantly across countries. Reporting segmented information helps investors and stakeholders make informed decisions about the performance and future prospects of the enterprise.

Which of the Following Are Reasons to Report Segmented Accounting