Revlon Company provided the following data for the current year. Segment Revenue Profit (loss) Assets 1 620,000 100,000 340,000 190,000 180,000 70,000 120,000 380,000 200,000 20,000 70,000 ( 30,000) ( 25,000) 10,000 ( 20,000) ( 25,000) 400,000 80,000 300,000 140,000 180,000 120,000 140,000 140,000 6. Others The "others" H234 5o7
Revlon Company provided the following data for the current year. Segment Revenue Profit (loss) Assets 1 620,000 100,000 340,000 190,000 180,000 70,000 120,000 380,000 200,000 20,000 70,000 ( 30,000) ( 25,000) 10,000 ( 20,000) ( 25,000) 400,000 80,000 300,000 140,000 180,000 120,000 140,000 140,000 6. Others The "others" H234 5o7
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter9: Metric-analysis Of Financial Statements
Section: Chapter Questions
Problem 9.4.13P: Twenty metrics of liquidity, solvency, and profitability The comparative financial statements of...
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Question
![Revlon Company provided the following data for the current
Problem 13-16 (IAA)
year.
Segment
Revenue
Profit (loss)
Assets
620,000
100,000
340,000
190,000
180,000
70,000
120,000
380,000
200,000
20,000
70,000
( 30,000)
( 25,000)
10,000
( 20,000)
( 25,000)
400,000
80,000
300,000
140,000
180,000
120,000
140,000
140,000
Others
* The "others" category includes five operating segments,
none of which has revenue or assets greater than P80,000
and none with an operating profit.
Operating Segments 1 and 2 produce very similar
products and use very similar production processes, but
serve different customer types and use quite different
product distribution system. These differences are due
in part to the fact that Segment 2 operates in a regulated
environment while Segment 1 does not.
*. Operating Segments 6 and 7 have very similar products,
production processes, product distribution systems, but
are organized as separate divisions since they serve
substantially different types of customers. Neither
Segments 6 and 7 operate in a regulated environment.
Required:
1. Determine the reportable segments without regard to
aggregation criteria.
2. If the 75% overall size test for reportable segments is not
yet met, identify additional reportable segments.
3. What are the reportable segments after considering all
factors?
379
1234567](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F65e7a6b5-471d-4e86-8f7f-0c50ecc31094%2F4858b48d-284b-483f-b3ec-91d9502934db%2F6uwx9q_processed.png&w=3840&q=75)
Transcribed Image Text:Revlon Company provided the following data for the current
Problem 13-16 (IAA)
year.
Segment
Revenue
Profit (loss)
Assets
620,000
100,000
340,000
190,000
180,000
70,000
120,000
380,000
200,000
20,000
70,000
( 30,000)
( 25,000)
10,000
( 20,000)
( 25,000)
400,000
80,000
300,000
140,000
180,000
120,000
140,000
140,000
Others
* The "others" category includes five operating segments,
none of which has revenue or assets greater than P80,000
and none with an operating profit.
Operating Segments 1 and 2 produce very similar
products and use very similar production processes, but
serve different customer types and use quite different
product distribution system. These differences are due
in part to the fact that Segment 2 operates in a regulated
environment while Segment 1 does not.
*. Operating Segments 6 and 7 have very similar products,
production processes, product distribution systems, but
are organized as separate divisions since they serve
substantially different types of customers. Neither
Segments 6 and 7 operate in a regulated environment.
Required:
1. Determine the reportable segments without regard to
aggregation criteria.
2. If the 75% overall size test for reportable segments is not
yet met, identify additional reportable segments.
3. What are the reportable segments after considering all
factors?
379
1234567
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