I need help and this is the first time I have ever used this.

nqrrezna
timer Asked: Feb 13th, 2016

Question Description

P24-2 (Segmented Reporting) Cineplex Corporation is a diversified company that operates in five different

industries: A, B, C, D, and E. The following information relating to each segment is available for 2015.

A B C D E

Sales revenue $40,000 $ 75,000 $580,000 $35,000 $55,000

Cost of goods sold 19,000 50,000 270,000 19,000 30,000

Operating expenses 10,000 40,000 235,000 12,000 18,000

Total expenses 29,000 90,000 505,000 31,000 48,000

Operating profi t (loss) $11,000 $ (15,000) $ 75,000 $ 4,000 $ 7,000

Identifi able assets $35,000 $ 80,000 $500,000 $65,000 $50,000

Sales of segments B and C included intersegment sales of $20,000 and $100,000, respectively.

Instructions

(a) Determine which of the segments are reportable based on the:

(1) Revenue test.

(2) Operating profit (loss) test.

(3) Identifiable assets test.

(b) Prepare the necessary disclosures required by GAAP.


User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

This question has not been answered.

Create a free account to get help with this and any other question!

Related Tags

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors