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1. Vehicle Corporation is organized into four operating segments. The internal reporting system generated the following segment information: Revenues from Outsiders Intersegment Transfers Operating Expenses

1. Vehicle Corporation is organized into four operating segments. The internal reporting system generated the following segment information:

Revenues from Outsiders

Intersegment Transfers

Operating Expenses

Autos

$

4,006,000

$

106,000

$

3,606,000

Trucks

3,506,000

206,000

4,006,000

SUVs

2,606,000

0

2,006,000

Motorcycles

906,000

56,000

1,026,000

The company incurred additional operating expenses (of a general nature) of $1,206,000.

a. What is the profit or loss of each of these segments?

b. Perform the profit or loss test to determine which of these segments is separately reportable.

Complete this question by entering your answers in the tabs below.

Required A

What is the profit or loss of each of these segments?

Profit

Loss

Autos

?

?

Trucks

?

?

SUVs

?

?

Motorcycles

?

?

Total

?

?

Required B

Perform the profit or loss test to determine which of these segments is separately reportable.

Autos

Trucks and SUVs

Autos, Trucks and SUVs

Trucks and Motorcycles

All Four Operating Segments.

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