9. Which of the following statements about an operating segment is true?

a. An operating segment engages in business activities from which it may earn revenues and incur expenses but may not actually be earning revenues or incurring expenses at this point in time.

b. An operating segment engages in business activities from which it may earn revenues and incur expenses and must be earning revenues or incurring expenses at this point in time.

c. An operating segments operating results do not need to be reviewed by the chief operating decision maker as long as they are reviewed by department managers in making their business decisions.

d. An operating segment does not have to provide discrete financial information.

10. Which of the following best describes the accounting for operating segments?

a. If an operating segment was separately reported in a previous year, it must be reported that way in the current year even if it no longer meets the criteria for reportability.

b. If an operating segment is reported separately in the current period, prior-period segment data presented for comparative purposes must be restated to include that segment even if that segment did not satisfy the criteria for reportability.

c. The determination of the reportability of a segment is made each year. Segments can be included or excluded each year depending on the results of the reporting tests.

d. Both a and b are true