Question
Question 4 Johnson is a group accountant working for Sajama plc, a global distribution company. Sajama plc has six operating segments within the UK which
Question 4
Johnson is a group accountant working for Sajama plc, a global distribution company. Sajama plc has six operating segments within the UK which are routinely reported segmentally in the management accounts.
The following information relates to the year ended 31st December 2021:
Midlands
| South
| London
| Wales
| Scotland
| North
| Total
| |
Revenue | 22.0 | 10.0 | 30.0 | 32.0 | 11.0 | 10.0 | 115.0 |
Profit/(Loss) | 3.2 | -1.5 | 6.0 | 8.0 | -1.3 | - 1.3 | 13.1 |
Assets | 38.0 | 13.0 | 50.0 | 40.0 | 15.0 | 14.0 | 170.0 |
Note: All figures are in millions
The directors of Sajama plc have asked Johnson to consider whether they need to comply with IFRS 8 and which information wouldneed to be included in the financial statements. They are keen to keep any segmental disclosure to the minimum as they dont want to share market-sensitive data with their competitors.
YOU ARE REQUIRED TO:
Using calculations, identify the companys reportable segments for the year to 31st December 2021.Show all workings.
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