The following is the segment reports of Tora plc, which manufactures and sells three main classes of product, for the year ended 31 December 2006.

Paper Plastic Metal Eliminations Consolidation

£m £m £m £m £m Revenue External sales 420 280 140 Inter-segment sales 20 10 15 (45)

Total revenue 440 290 155 (45) 840 Result Segment result 80 65 45 (6) 184 Unallocated expenses 38 146 Interest expense (14)

Corporation tax (26)

Profit for the year 106 Other information Segment assets 350 650 226 1,226 Unallocated assets 146 Consolidated total assets 1,372 Segment liabilities 55 150 42 247 Unallocated liabilities 60 Consolidated total liabilities 307 Capital expenditure 10 – 15 25 Depreciation 72 130 70 272 CHAPTER 5 ACCOUNTING FOR LIMITED COMPANIES (2)

Required:

Analyse the performance of each of the business segments for the year and comment on your results.