Question 1

Wayne, Inc. has four operating segments with the following information:   Which operating segments are separately reportable under the revenue test?

Accepted Answer

A)  Tables and Chairs. 
B)  Bookcases only. 
C)  Tables, Bookcases, and Chairs. 
D)  Bookcases, Cabinets, and Chairs. 
E)  Tables, Bookcases, Cabinets, and Chairs. 
A)  Tables and Chairs. 
B)  Bookcases only. 
C)  Tables, Bookcases, and Chairs. 
D)  Bookcases, Cabinets, and Chairs. 
E)  Tables, Bookcases, Cabinets, and Chairs.

Question 2

Wayne, Inc. has four operating segments with the following information:   Which operating segments are separately reportable under the operating profit or loss test?

Accepted Answer

A)  Tables and Chairs. 
B)  Bookcases only. 
C)  Tables, Bookcases, and Cabinets. 
D)  Bookcases, Cabinets, and Chairs. 
E)  Tables, Bookcases, Cabinets, and Chairs. 
A)  Tables and Chairs. 
B)  Bookcases only. 
C)  Tables, Bookcases, and Cabinets. 
D)  Bookcases, Cabinets, and Chairs. 
E)  Tables, Bookcases, Cabinets, and Chairs.

Question 3

Wayne, Inc. has four operating segments with the following information:   What is the operating profit or loss for the Cabinets segment?

Accepted Answer

A)  $745,000. 
B)  $995,000. 
C)  $1,155,000. 
D)  $987,000. 
E)  $1,250,000. 
A)  $745,000. 
B)  $995,000. 
C)  $1,155,000. 
D)  $987,000. 
E)  $1,250,000.

Question 4

Which of the following is not true for an operating segment according to U.S. GAAP?

Accepted Answer

A)  Discrete financial information generated by the internal accounting system is available. 
B)  The segment recognizes revenues and incurs expenses. 
C)  The segment is regularly reviewed by a chief decision maker to assess performance decisions. 
D)  The segment is regularly reviewed by a chief decision maker to make resource allocations. 
E)  An organizational unit cannot be an operating segment if all of its operating transactions are only with other segments of the organization. 
A)  Discrete financial information generated by the internal accounting system is available. 
B)  The segment recognizes revenues and incurs expenses. 
C)  The segment is regularly reviewed by a chief decision maker to assess performance decisions. 
D)  The segment is regularly reviewed by a chief decision maker to make resource allocations. 
E)  An organizational unit cannot be an operating segment if all of its operating transactions are only with other segments of the organization.

Question 5

Thompson Corp. was engaged solely in manufacturing operations. The following data pertain to the operating segments for 2020:   What is the minimum amount of profit or loss that each of these segments must earn to be considered separately reportable?

Accepted Answer

A)  $815,000. 
B)  $820,200. 
C)  $845,000. 
D)  $902,220. 
E)  $959,500. 
A)  $815,000. 
B)  $820,200. 
C)  $845,000. 
D)  $902,220. 
E)  $959,500.

Question 6

What approach is used, according to U.S. GAAP, for determining how a business is divided into segments?

Accepted Answer

The management appro

Question 7

Wayne, Inc. has four operating segments with the following information:   What is the minimum amount of operating profit or loss an operating segment must have to be considered a reportable segment?

Accepted Answer

A)  $277,000. 
B)  $307,500. 
C)  $279,800. 
D)  $257,000. 
E)  $217,600. 
A)  $277,000. 
B)  $307,500. 
C)  $279,800. 
D)  $257,000. 
E)  $217,600.

Question 8

Which of the following is false with regard to accounting standards for segment reporting according to International Financial Reporting Standards (IFRS) and U.S. GAAP?

Accepted Answer

A)  IFRS and U.S. GAAP do not each require disclosure of segment liabilities. 
B)  IFRS and U.S. GAAP both require disclosure of intangible assets attributable to geographic segments. 
C)  According to IFRS, operating segments can be based on products and services. 
D)  According to IFRS, operating segments can be based on geographic areas. 
E)  IFRS and U.S. GAAP both require disclosure of total assets. 
A)  IFRS and U.S. GAAP do not each require disclosure of segment liabilities. 
B)  IFRS and U.S. GAAP both require disclosure of intangible assets attributable to geographic segments. 
C)  According to IFRS, operating segments can be based on products and services. 
D)  According to IFRS, operating segments can be based on geographic areas. 
E)  IFRS and U.S. GAAP both require disclosure of total assets.

Question 9

Dean Hardware, Inc. is comprised of five operating segments. Information about each of these segments is as follows (in thousands):   Which operating segments are reportable under the revenue test?

Accepted Answer

A)  Pails and Hardware. 
B)  Rakes, Pails, and Hardware. 
C)  Rakes, Hardware, and Accessories. 
D)  Rakes and Pails. 
E)  Rakes and Hardware. 
A)  Pails and Hardware. 
B)  Rakes, Pails, and Hardware. 
C)  Rakes, Hardware, and Accessories. 
D)  Rakes and Pails. 
E)  Rakes and Hardware.

Question 10

According to U.S. GAAP, what revenues and expenses included in segment profit or loss need to be disclosed?

Accepted Answer

The revenues and expenses included in se

Question 11

Gregor Inc. uses the LIFO cost-flow assumption to value inventory. Inventory for Gregor on January 1, 2021 was 100 units at a LIFO cost of $25 per unit. During the first quarter of 2021, 200 units were purchased costing an average of $40 per unit, and sales of 265 units at a retail price of $50 per unit were made.Assuming Gregor expects to replace the units of beginning inventory sold before the year-end at a cost of $41, what is the amount of cost of goods sold for the quarter ended March 31, 2021?

Accepted Answer

$10,665 [(

Question 12

What is the appropriate treatment in an interim financial report for inventory that has cost below net realizable value?

Accepted Answer

A)  The loss should always be recorded in the interim period in which cost drops below net realizable value. 
B)  The loss should be recorded in the interim period in which cost drops below net realizable value if the loss is considered temporary. 
C)  The loss should be recorded in the interim period in which cost drops below net realizable value if the loss is considered permanent. 
D)  The loss should be ignored for interim reporting purposes. 
E)  There is no loss to report. 
A)  The loss should always be recorded in the interim period in which cost drops below net realizable value. 
B)  The loss should be recorded in the interim period in which cost drops below net realizable value if the loss is considered temporary. 
C)  The loss should be recorded in the interim period in which cost drops below net realizable value if the loss is considered permanent. 
D)  The loss should be ignored for interim reporting purposes. 
E)  There is no loss to report.

Question 13

Peterson Corporation has three operating segments with the following information:   What amount of revenue must be generated from one customer before such party must be identified as a major customer?

Accepted Answer

A)  $3,900. 
B)  $4,000. 
C)  $4,100. 
D)  $4,200. 
E)  $4,400. 
A)  $3,900. 
B)  $4,000. 
C)  $4,100. 
D)  $4,200. 
E)  $4,400.

Question 14

Dean Hardware, Inc. is comprised of five operating segments. Information about each of these segments is as follows (in thousands):   Which operating segments are reportable under the asset test?

Accepted Answer

A)  None. 
B)  Pails. 
C)  Rakes, Pails, and Shovels. 
D)  Rakes and Hardware. 
E)  Rakes, Pails, and Hardware. 
A)  None. 
B)  Pails. 
C)  Rakes, Pails, and Shovels. 
D)  Rakes and Hardware. 
E)  Rakes, Pails, and Hardware.

Question 15

Vapor Corporation has a fan products operating segment. With respect to the following, which is Vapor not required to report for this segment?

Accepted Answer

A)  Depreciation expense. 
B)  Amortization expense. 
C)  Research and development expense. 
D)  Interest expense. 
E)  Interest income. 
A)  Depreciation expense. 
B)  Amortization expense. 
C)  Research and development expense. 
D)  Interest expense. 
E)  Interest income.

Question 16

Which of the following is reported for interim financial reports using the discrete approach?

Accepted Answer

A)  Income tax expense. 
B)  Seasonal items. 
C)  Change in accounting principle. 
D)  Property tax expense. 
E)  Discontinued operations. 
A)  Income tax expense. 
B)  Seasonal items. 
C)  Change in accounting principle. 
D)  Property tax expense. 
E)  Discontinued operations.

Question 17

Elektronix, Inc. has three operating segments with the following information:   Which operating segments are separately reportable under the revenue test?

Accepted Answer

A)  DVDs only. 
B)  DVDs and MP3s. 
C)  DVDs and VCRs. 
D)  VCRs and MP3s. 
E)  DVDs, VCRs, and MP3s. 
A)  DVDs only. 
B)  DVDs and MP3s. 
C)  DVDs and VCRs. 
D)  VCRs and MP3s. 
E)  DVDs, VCRs, and MP3s.

Question 18

Baker Corporation changed from the LIFO method to the FIFO method for inventory valuation during 2021. Baker has an effective income tax rate of 35% and 100,000 shares of common stock issued and outstanding. The following additional information is available:   Assuming Baker makes the change in the first quarter of 2021, how much is reported as net income for the first quarter of 2021?

Accepted Answer

A)  $492,000. 
B)  $494,800. 
C)  $500,000. 
D)  $505,200. 
E)  $527,950. 
A)  $492,000. 
B)  $494,800. 
C)  $500,000. 
D)  $505,200. 
E)  $527,950.

Question 19

Which of the following items of information are required to be included in interim reports for each operating segment?Revenues from external customersSegment profit or lossReconciliation of segment profit or loss to the enterprise's total income before taxesIntersegment revenues

Accepted Answer

A)  I and III only. 
B)  I and II only. 
C)  I, II and III. 
D)  II and III only. 
E)  I, II, III, and IV. 
A)  I and III only. 
B)  I and II only. 
C)  I, II and III. 
D)  II and III only. 
E)  I, II, III, and IV.

Question 20

Peterson Corporation has three operating segments with the following information:   According to the revenue test, which segment(s) are separately reportable?

Accepted Answer

A)  Mowers only. 
B)  Mowers and Edgers. 
C)  Mowers and Weedeaters. 
D)  Edgers and Weedeaters. 
E)  Mowers, Edgers, and Weedeaters. 
A)  Mowers only. 
B)  Mowers and Edgers. 
C)  Mowers and Weedeaters. 
D)  Edgers and Weedeaters. 
E)  Mowers, Edgers, and Weedeaters.

Wayne, Inc. has four operating segments with the following information: Which operating segments are separately reportable under the revenue test?

Wayne, Inc. has four operating segments with the following information: Which operating segments are separately reportable under the operating profit or loss test?

Wayne, Inc. has four operating segments with the following information: What is the operating profit or loss for the Cabinets segment?

Which of the following is not true for an operating segment according to U.S. GAAP?

Thompson Corp. was engaged solely in manufacturing operations. The following data pertain to the operating segments for 2020: What is the minimum amount of profit or loss that each of these segments must earn to be considered separately reportable?

What approach is used, according to U.S. GAAP, for determining how a business is divided into segments?

Wayne, Inc. has four operating segments with the following information: What is the minimum amount of operating profit or loss an operating segment must have to be considered a reportable segment?

Which of the following is false with regard to accounting standards for segment reporting according to International Financial Reporting Standards (IFRS) and U.S. GAAP?

Dean Hardware, Inc. is comprised of five operating segments. Information about each of these segments is as follows (in thousands): Which operating segments are reportable under the revenue test?

According to U.S. GAAP, what revenues and expenses included in segment profit or loss need to be disclosed?

What is the appropriate treatment in an interim financial report for inventory that has cost below net realizable value?

Peterson Corporation has three operating segments with the following information: What amount of revenue must be generated from one customer before such party must be identified as a major customer?

Dean Hardware, Inc. is comprised of five operating segments. Information about each of these segments is as follows (in thousands): Which operating segments are reportable under the asset test?

Vapor Corporation has a fan products operating segment. With respect to the following, which is Vapor not required to report for this segment?

Which of the following is reported for interim financial reports using the discrete approach?

Elektronix, Inc. has three operating segments with the following information: Which operating segments are separately reportable under the revenue test?

Which of the following items of information are required to be included in interim reports for each operating segment?Revenues from external customersSegment profit or lossReconciliation of segment profit or loss to the enterprise's total income before taxesIntersegment revenues

Peterson Corporation has three operating segments with the following information: According to the revenue test, which segment(s) are separately reportable?

Accounting for Estates and Trusts

Accounting and Reporting for Private Not-For-Profit Organizations

Accounting for State and Local Governments, Part II

Accounting for State and Local Governments, Part I

Partnerships: Termination and Liquidation

Partnerships: Formation and Operation

Accounting for Legal Reorganizations and Liquidations

Financial Reporting and the Securities and Exchange Commission

Worldwide Accounting Diversity and International Accounting Standards

Translation of Foreign Currency Financial Statements

Foreign Currency Transactions and Hedging Foreign Exchange Risk

Consolidated Financial Statements - Ownership Patterns and Income Taxes

Variable Interest Entities, Intra-Entity Debt, Consolidated Cash Flows, and Other Issues

Consolidated Financial Statements Intra-Entity Asset Transactions

Consolidated Financial Statements and Outside Ownership

Consolidations - Subsequent to the Date of Acquisition

Consolidation of Financial Information

The Equity Method of Accounting for Investments

Filters

Exam 8: Segment and Interim Reporting

Wayne, Inc. has four operating segments with the following information: Which operating segments are separately reportable under the revenue test?

Wayne, Inc. has four operating segments with the following information: Which operating segments are separately reportable under the operating profit or loss test?

Wayne, Inc. has four operating segments with the following information: What is the operating profit or loss for the Cabinets segment?

Which of the following is not true for an operating segment according to U.S. GAAP?

Thompson Corp. was engaged solely in manufacturing operations. The following data pertain to the operating segments for 2020: What is the minimum amount of profit or loss that each of these segments must earn to be considered separately reportable?

What approach is used, according to U.S. GAAP, for determining how a business is divided into segments?

Wayne, Inc. has four operating segments with the following information: What is the minimum amount of operating profit or loss an operating segment must have to be considered a reportable segment?

Which of the following is false with regard to accounting standards for segment reporting according to International Financial Reporting Standards (IFRS) and U.S. GAAP?

Dean Hardware, Inc. is comprised of five operating segments. Information about each of these segments is as follows (in thousands): Which operating segments are reportable under the revenue test?

According to U.S. GAAP, what revenues and expenses included in segment profit or loss need to be disclosed?

What is the appropriate treatment in an interim financial report for inventory that has cost below net realizable value?

Peterson Corporation has three operating segments with the following information: What amount of revenue must be generated from one customer before such party must be identified as a major customer?

Dean Hardware, Inc. is comprised of five operating segments. Information about each of these segments is as follows (in thousands): Which operating segments are reportable under the asset test?

Vapor Corporation has a fan products operating segment. With respect to the following, which is Vapor not required to report for this segment?

Which of the following is reported for interim financial reports using the discrete approach?

Elektronix, Inc. has three operating segments with the following information: Which operating segments are separately reportable under the revenue test?

Which of the following items of information are required to be included in interim reports for each operating segment?Revenues from external customersSegment profit or lossReconciliation of segment profit or loss to the enterprise's total income before taxesIntersegment revenues

Peterson Corporation has three operating segments with the following information: According to the revenue test, which segment(s) are separately reportable?

Accounting for Estates and Trusts

Accounting and Reporting for Private Not-For-Profit Organizations

Accounting for State and Local Governments, Part II

Accounting for State and Local Governments, Part I

Partnerships: Termination and Liquidation

Partnerships: Formation and Operation

Accounting for Legal Reorganizations and Liquidations

Financial Reporting and the Securities and Exchange Commission

Worldwide Accounting Diversity and International Accounting Standards

Translation of Foreign Currency Financial Statements

Foreign Currency Transactions and Hedging Foreign Exchange Risk

Consolidated Financial Statements - Ownership Patterns and Income Taxes

Variable Interest Entities, Intra-Entity Debt, Consolidated Cash Flows, and Other Issues

Consolidated Financial Statements Intra-Entity Asset Transactions

Consolidated Financial Statements and Outside Ownership

Consolidations - Subsequent to the Date of Acquisition

Consolidation of Financial Information

The Equity Method of Accounting for Investments

Filters