Reportable segments, allocating amounts to segments   LO5, 6, 7 Sellsit Ltd is a listed diversified retail company. Its stores are located mainly in Australia. It has three main types of stores: general department stores, liquor stores and specialist toy stores. Each of these stores has different products, customer types and distribution processes. Sellsit Ltd has three business units: general department stores, liquor stores and specialist toy stores. For the year ended 30 June 2019 each business unit reported the following financial information to Sellsit Ltd’s CODM. General department stores $m Liquor stores $m Toy stores $m All segments $m Revenue 400 100 50 550 Segment result (profit) 15 7 4 26 Assets 900 200 100 1 200 Total consolidated revenue of Sellsit Ltd for the year ended 30 June 2019 is $800 million. Included in general department stores’ revenue is $50 million of revenue from toy stores. As at the end of the reporting period toy stores owed general department stores $45 million. This amount is included in general department stores’ assets. Within the general department stores business unit there are five different legal entities including legal entities Y and Z. As at 30 June 2019 legal entity Z owed $23 million to legal entity Y. These amounts have not been eliminated in determining the assets of the general department stores segment. Intersegment asset balances are reported to the CODM but are not used by the CODM as the basis for determining reportable segments. Intrasegment assets are reported to the CODM and are eliminated in determining reportable segments. Required State whether the following statements are true or false. Give reasons for your answers. 1. Sellsit Ltd has three reportable segments. 2. The revenue figure that should be used by the general department stores segment for the purposes of determining whether or not it is a reportable segment is $350 million. 3. Sellsit Ltd must disclose the toy store’s segment liabilities after deducting the $45 million owed to general department stores. 4. The assets figure that should be used by the general department stores segment for the purposes of determining whether or not it is a reportable segment is $900 million. 5. The assets figure that should be used by the general department stores segment for the purposes of determining whether or not it is a reportable segment is $855 million. 6. The assets figure that should be used by the general department stores segment for the purposes of determining whether or not it is a reportable segment is $877 million. 7. Sellsit Ltd must disclose a reconciliation of total segment assets to its consolidated assets of $1132 million.