Analysis of segment disclosure footnote The Walt Disney Company identifies five operating segments. Following are excerpts from the description provided in the companys 2014 10-K:

The Walt Disney Company, together with its subsidiaries, is a diversified worldwide entertainment company with operations in five business segments: Media Networks, Parks and Resorts, Studio Entertainment, Consumer Products, and Interactive.

Media Networks	The Media Networks segment includes broadcast and cable television networks, television production operations, television distribution, domestic television stations and radio networks and stations.
Parks and Resorts	The Company owns and operates the Walt Disney World Resort in Florida, the Disneyland Resort in California, Aulani, a Disney Resort & Spa in Hawaii, the Disney Vacation Club, the Disney Cruise Line and Adventures by Disney. The Company manages and has effective ownership interests . . . in Disneyland Paris, in Hong Kong Disneyland Resort and in Shanghai DisneyResort. The Company also licenses the operations of the Tokyo Disney Resort in Japan. The Companys Walt Disney Imagineering unit designs and develops new theme park concepts and attractions as well as resort properties.
Studio Entertainment	The Studio Entertainment segment produces and acquires live-action and animated motion pictures, direct-to-video content, musical recordings and live stage plays.
Consumer Products	The Consumer Products segment engages with licensees, publishers and retailers throughout the world to design, develop, publish, promote and sell a wide variety of products based on the Companys intellectual property through its Merchandise Licensing, Publishing and Retail businesses. In addition to using the Companys film and television properties, Consumer Products also develops its own intellectual property, which can be used across the Companys businesses.
Interactive	The Interactive segment creates and delivers branded entertainment and lifestyle content across interactive media platforms. Interactives primary operations include the production and global distribution of multiplatform games, the licensing of content for games and mobile devices, website management and design for other Company businesses and the development of branded online services.

The segment footnote in The Walt Disney Company 2014 annual report follows (in millions):

SEGMENT INFORMATION The operating segments reported below are the segments of the Company for which separate financial information is available and for which segment results are evaluated regularly by the Chief Executive Officer in deciding how to allocate resources and in assessing performance.The segment footnote in The Walt Disney Company 2014 annual report follows (in millions):

SEGMENT INFORMATION The operating segments reported below are the segments of the Company for which separate financial information is available and for which segment results are evaluated regularly by the Chief Executive Officer in deciding how to allocate resources and in assessing performance.

	2014		2013		2012
Revenues
Media Networks	$21,152		$20,356		$19,436
Parks and Resorts	15,099		14,087		12,920
Studio Entertainment
Third parties	6,988		5,721		5,566
Intersegment	290		258		259
	7,278		5,979		5,825
Consumer Products
Third parties	4,274		3,811		3,499
Intersegment	(289)		(256)		(247)
	3,985		3,555		3,252
Interactive
Third parties	1,300		1,066		857
Intersegment	(1)		(2)		(12)
	1,299		1,064		845
Total consolidated revenues	$48,813		$45,041		$42,278
Segment operating income (loss)
Media Networks	$7,321		$6,818		$6,619
Parks and Resorts	2,663		2,220		1,902
Studio Entertainment	1,549		661		722
Consumer Products	1,356		1,112		937
Interactive	116		(87)		(216)
Total segment operating income	$13,005		$10,724		$9,964
Reconciliation of segment operating income
to income before income taxes
Segment operating income	$13,005		$10,724		$9,964
Corporate and unallocated shared expenses	(611)		(531)		(474)
Restructuring and impairment charges	(140)		(214)		(100)
Other income/(expense), net	(31)		(69)		239
Interest income/(expense), net	23		(235)		(369)
Hulu equity redemption charge	-		(55)		-
Income before income taxes	$12,246		$9,620		$9,260
Capital expenditures
Media Networks
Cable Networks	$172		$176		$170
Broadcasting	88		87		85
Parks and Resorts
Domestic	1,184		1,140		2,242
International	1,504		970		641
Studio Entertainment	63		78		79
Consumer Products	43		45		69
Interactive	5		13		27
Corporate	252		287		471
Total capital expenditures	$3,311		$2,796		$3,784
Depreciation expense
Media Networks	$238		$238		$241
Parks and Resorts
Domestic	1,117		1,041		927
International	353		327		314
Studio Entertainment	48		54		48
Consumer Products	59		57		55
Interactive	10		20		17
Corporate	239		220		182
Total depreciation expense	$2,064		$1,957		$1,784
Amortization of intangible assets
Media Networks	$12		$13		$17
Parks and Resorts	2		2		-
Studio Entertainment	88		107		94
Consumer Products	109		89		60
Interactive	13		24		32
Corporate	-		-		-
Total amortization of intangible assets	$224		$235		$203
Identifiable assets
Media Networks	$29,887		$28,627
Parks and Resorts	23,335		22,056
Studio Entertainment	15,155		14,750
Consumer Products	7,526		7,506
Interactive	2,259		2,311
Corporate	6,024		5,991
Total consolidated assets	$84,186		$81,241

a. Confirm that each of Disneys segments exceeds one or more of the quantitative thresholds.

Calculate the quantitative threshold tests for 2014 and 2013.

Round answers to one decimal place (ex: 0.2345 = 23.5%). Use negative signs with answers, when appropriate.

% revenue			2014		2013
Media Networks			Answer %
Parks and Resorts
Studio Entertainment
Consumer Products
Interactive Media

% operating profit			2014		2013
Media Networks			Answer%		Answer%
Parks and Resorts			Answer%		Answer%
Studio Entertainment			Answer%		Answer%
Consumer Products			Answer%		Answer%
Interactive Media			Answer%		Answer%

% assets			2014		2013
Media Networks			Answer%		Answer%
Parks and Resorts			Answer%		Answer%
Studio Entertainment			Answer%		Answer%
Consumer Products			Answer%		Answer%
Interactive Media			Answer%		Answer%

Using 2014 calculations only, indicate whether the segment exceeds each quantitative threshold test or not. Select Yes or No using the drop-down answer menu.

	Operating Profit	Revenues	Assets
Media Networks	AnswerYesNo	AnswerYesNo	AnswerYesNo
Parks and Resorts	AnswerYesNo	AnswerYesNo	AnswerYesNo
Studio Entertainment	AnswerYesNo	AnswerYesNo	AnswerYesNo
Consumer Products	AnswerYesNo	AnswerYesNo	AnswerYesNo
Interactive Media	AnswerYesNo	AnswerYesNo	AnswerYesNo

b. do not need

c. Compute a rough DuPont analysis over the past three years of the operating segments (i.e., profit/ revenues, revenues/total assets, and return on assets as the product of the profit and turnover ratios).

Round profit margin answers to one decimal place (ex: 0.2345 = 23.5%). Use negative signs with answers, when appropriate.

Profit margin			2014		2013
Media Networks			Answer%		Answer%
Parks and Resorts			Answer%		Answer%
Studio Entertainment			Answer%		Answer%
Consumer Products			Answer%		Answer%
Interactive Media			Answer%		Answer%

Round asset turnover answers to two decimal places.

Asset turnover			2014		2013
Media Networks			Answer		Answer
Parks and Resorts			Answer		Answer
Studio Entertainment			Answer		Answer
Consumer Products			Answer		Answer
Interactive Media			Answer		Answer

Use rounded figures from above to calculate. Round answers to one decimal place (ex: 0.2345 = 23.5%). Use negative signs with answers, when appropriate.

Return on Assets			2014		2013
Media Networks			Answer%		Answer%
Parks and Resorts			Answer%		Answer%
Studio Entertainment			Answer%		Answer%
Consumer Products			Answer%		Answer%
Interactive Media			Answer%		Answer%

d. Compute the free cash flow for each operating segment over the three-year period using the following definition: free cash flow = operating profit + depreciation and amortization - capital expenditures.

Use negative signs with answers, when appropriate.

Free cash flow				2014		2013		2012
Media Networks				$Answer		$Answer		$Answer
Parks and Resorts				Answer		Answer		Answer
Studio Entertainment				Answer		Answer		Answer
Consumer Products				Answer		Answer		Answer
Interactive Media				Answer		Answer		Answer
Total				$Answer		$Answer		$Answer