The following information relates to two different companies that comply with MERS 8 Operating Segment and chooses to disclose information about their operating segments as follows: Oren Bhd Oren Bhd is a multinational company which involves in manufacturing of automobiles, motorcycles and power equipment. This company has set up its operation in 6 different countries. The company is planning to expand their business in more countries by year 2022. Revenue Profit/(loss) Assets Singapore Indonesia Thailand Vietnam China Japan Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 20,000 34,000 12,000 400 1,000 800 68,200 (2.000) 1,000 5,000 10 (300) 3,000 6,710 10,000 16,000 6,000 180 500 300 32,980 Sweet Bhd Sweet Bhd is a manufacturer of food products and is based in Pulau Pinang. The company produces chocolate, gum, candy and cookies. The company's vision is to be the biggest and the best confectionery company in the world. Revenue Profit/(loss) Assets Chocolate RM'000 40,000 2,000 8,000 Gum RM'000 38,000 18.000 6,000 Candy RM'000 22,000 10,000 5,000 Cookies RM'000 14,000 3,000 9,000 Total RM'000 114,000 33,000 28,000 Required: a. b. Discuss briefly why the information presented for operating segment is relevant to investors. (2 marks) Identify the basis used by Oren Bhd and Sweet Bhd in classifying its operating segments. (2 marks) Using asset as a basis for the quantitative thresholds 10% test, categorise the operating segments of Oren Bhd into reportable segment and non-reportable segment. Show all workings. (6 marks) (Total: 10 marks) c