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A segment was reportable in the prior period but does NOT meet quantitative thresholds in the current period. Management judges that information about it is still of continuing significance to users. Under Ind AS 108, the segment:
AShould be reported only if its results have declined by no more than 25% year-on-year
BShould be restated only into the prior comparative period, not the current period
CMust immediately be aggregated into "all other segments" since it no longer meets the tests
DShould continue to be reported separately, because management has judged it of continuing significance to users
Answer & Solution
Correct answer: D. Should continue to be reported separately, because management has judged it of continuing significance to users
Para 17 of Ind AS 108 explicitly allows a segment that was reportable in the prior period to continue to be reported separately when management judges it of continuing significance — even if it now falls below the quantitative thresholds. This preserves comparability and prevents segment information from bouncing in and out of disclosure year on year.
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