Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Alec Limited Group conducts its business operations in various regions of the world. The regions listed below submit separate internal reports to company management

The Alec Limited Group conducts its business operations in various regions of the world. The regions listed below submit separate internal reports to company management for purposes of performance evaluation and resource allocation. The table below lists some of the details of the regions for the year ended 31 December 2019.

Revenue Profit or (Loss) $000 Segment Assets $000 Segment Liabilities $000 External $000 Internal $000

Northern Europe 20,000 0 5,000 15,000 4,000 Southern Europe 2,000 5,000 2,150 8,000 1,000 Eastern Europe 3,000 0 1,000 4,000 2,200 Western Europe 750 1,250 50 800 500 Central Asia 600 0 200 2,500 1,500 Southeast Asia 4,000 0 (100) 2,000 1,100 East Asia 4,000 0 500 2,000 900 South Asia 100 4,900 (200) 1,800 800 Western Asia 0 4,300 80 5,200 3,900 Total 34,450 15,450 8,680 41,300 15,900

Required:

Which are the segments to be reported separately and why is it so?

For those not identify above as reporting segments, why is it so?

As per SFRS(1)8 operating segments for identifying reportable segments, comment and critique on the approach.

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

Step: 3

blur-text-image

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

The Fundamental Principles Of Finance

Authors: Robert Irons

1st Edition

1138477524, 9781138477520

More Books

Students also viewed these Accounting questions