Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

2 1.5 points eBook Ecru Company has identified five Industry segments: plastics, metals, lumber, paper, and finance. It appropriately consolidated each of these segments in

2 1.5 points eBook Ecru Company has identified five Industry segments: plastics, metals, lumber, paper, and finance. It appropriately consolidated each of these segments in producing its annual financial statements. Information describing each segment (in thousands) follows: Sales to outside parties Intersegment transfers Interest income from outside parties Interest income from intersegment loans Operating expenses Interest expense Tangible assets Print Intangible assets Intersegment loans (debt) Plastics $ 6,520 Metals $ 2,244 $ Lumber 676 Paper Finance $ 387 $ 130 151 116 128 27 14 35 8 8 179 4,074 69 1,692 996 619 24 24 59 27 95 1,376 80 3,086 414 661 381 56 144 8 0 684 References Ecru does not allocate Its $1,290,000 in common expenses to the various segments. Perform testing procedures to determine Ecru's reportable operating segments. a. Revenue test: b. Profit or loss test: c. Asset test: Complete this question by entering your answers in the tabs below. Profit or Loss Revenue Test Asset Test Test Perform revenue test procedure to determine Ecru's reportable operating segments. (Round your percentage answers to 1 decimal place. Enter your answers in thousands of dollars.) Segment Revenues Percentage Reported or Not Reported Plastics 96 Metals % Lumber 96 Paper 96 Finance 96 Total $ 0 0.0 % Revenue Test Profit or Loss Test >

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Selected Material From Managerial Accounting

Authors: Hilton

2nd Edition

0072383348, 978-0072383348

More Books

Students also viewed these Accounting questions

Question

Understand how customers respond to effective service recovery.

Answered: 1 week ago

Question

Know the principles of effective service recovery systems.

Answered: 1 week ago