alleryStart learning →External segments are units reported to the board for what purpose?
ASetting the statutory audit fee
BDeclaring the yearly dividend
CComputing the annual tax bill
DJudging performance and resourcing
Answer & Solution
Correct answer: D. Judging performance and resourcing
Segments are the units whose performance is evaluated and which receive future resource allocation decisions.
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Related questions
Segment result includes interest expense. Segment liabilities then include what?Each business segment must be described by indicating what?A change in how revenues and expenses are allocated to segments leaves what unchanged?A material segment policy change needs nature and what else?On what basis are inter-segment transfers measured?If geography is primary, what is reported for large business segments?With business segments primary, which geographical segments need secondary revenue data?The reconciliation ties segment result to which enterprise item?