LMN and all of its divisions are engaged solely in trading business. The 20x1 income statement of LMN Co. shows the following: Sales to unaffiliated 15,000,000 Intersegment sales Gain on sale of machinery Expenses 3,000,000 1,500,000 (10,000,000) 6.500,000 Net income 1. What is the minimum amount of segment revenue in order that a division can be considered a reportable segment? 2. In its 20x1 financial statements, LMN should disclose major customer data if sales to any single customer amount to at least

LMN and all of its divisions are engaged solely in trading business. The 20x1 income statement of LMN Co. shows the following: Sales to unaffiliated 15,000,000 Intersegment sales Gain on sale of machinery Expenses 3,000,000 1,500,000 (10,000,000) 6.500,000 Net income 1. What is the minimum amount of segment revenue in order that a division can be considered a reportable segment? 2. In its 20x1 financial statements, LMN should disclose major customer data if sales to any single customer amount to at least

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Question

LMN and all of its divisions are engaged solely in trading business. The 20x1 income statement of LMN Co.
shows the following:
Sales to unaffiliated
15,000,000
Intersegment sales
Gain on sale of machinery
Expenses
3,000,000
1,500,000
(10,000,000)
6.500,000
Net income
1. What is the minimum amount of segment revenue in order that a division can be considered a reportable
segment?
2. In its 20x1 financial statements, LMN should disclose major customer data if sales to any single customer
amount to at least

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