Ch14_hw - Chapter 14 SEGMENT AND INTERIM FINANCIAL...

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Chapter 14 SEGMENT AND INTERIM FINANCIAL REPORTING SOLUTIONS TO EXERCISES Solution E14-1 1 D 4 b 2 A 5 d 3 D 6 b Solution E14-3 Revenue test: 10% of combined revenues (total sales) = $68,800,000 The food service industry, copper mine, and chemical industry are reportable segments under the revenue test because they each have revenue in excess of $68,800,000. Operating profit test: 10% of the greater of the combined operating profit of all industries having operating profit ($88,500,000) or the combined operating loss of all industries having operating losses ($25,500,000). The food service industry, copper mine, chemical industry, and agricultural products industry are reportable segments because they each have operating profit or loss in excess of $8,850,000. Asset test: 10% of combined assets ($638,000,000 total assets less $33,000,000 corporate assets) = $60,500,000. The food service industry and chemical industry are reportable segments because they have assets in excess of $60,500,000. Reportable segments
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Ch14_hw - Chapter 14 SEGMENT AND INTERIM FINANCIAL...

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