Identify the reportable business segments, Financial Accounting

Juniper Ltd is a listed diversified company.  In preparing its financial statements in accordance with AASB 8, the chief operating officer has identified three operating segments: construction, retail and transport.  Details concerning each operating segment are provided in the tables below:

 

Total Sales

$

('000)

Profit before tax

$

('000)

Assets

$

('000)

Construction

75

   3

500

Retail

315

-20

3 125

Transport

375

35

2 500

Head Office

    0

  0

   125

 

 

 

Depreciation

$

('000)

Other Non

Cash Expenses

$

('000)

 

Liabilities

$

('000)

Capital

Acquisitions

$

('000)

Construction

      10

15

2 000

65

Retail

      30

20

1 250

125

Transport

      25

25

3 000

250

 

Additional Information

  • Sales are primarily to external parties with the exception of $50 000 external sales made to Construction from the Transport segment. These sales generated a profit amounting to $10 000. All inter-segment liabilities have been paid and any materials sold between the segments have since been sold externally.
  • There are no investments in associates.
  • The income tax expense for the year is $10 000.
  • There are no extraordinary items.
  • Unallocated corporate assets total $75 000.
  • Unallocated corporate liabilities amounted to $150 000.
  • Unallocated corporate expenses amounted to $35 000.

Required

(i) In accordance with the relevant accounting standard, identify the reportable business segments showing all calculations.

(ii) What do you consider are the advantages of providing segment information to external users?

Posted Date: 4/1/2013 1:40:16 AM | Location : United States







Related Discussions:- Identify the reportable business segments, Assignment Help, Ask Question on Identify the reportable business segments, Get Answer, Expert's Help, Identify the reportable business segments Discussions

Write discussion on Identify the reportable business segments
Your posts are moderated
Related Questions
In the current year, Madison Corporation had $50,000 of taxable income at a tax rate of 25%. During the year, Madison began offering warranties on its products and has a warranty l

Help making t-Accounts

Calculation of Efficiency ratios  -                     2008 2009 2010 M Net Sales

Equitable apportionments There are five leading cases where the courts have laid down rules to meet specific situations in which there is a conflict of interest between life tena

Q. What is Amount per share? Par Value - Amount per share set in ARTICLES OF INCORPORATION of a CORPORATION to be entered in CAPITAL STOCKS account where it's left permanently

you are aceo of acme ,inc located in united states .you use the discounted pay back period method and accept all projects that pay back in hree years.a project that will cost 5,500

Q. Show danger of high financial gearing? A additional danger of high financial gearing is that a company may move into a loss-making position as a result of high interest paym

Baruch Lev, who is a professor of accounting at New York University and a globally known academic for his research on financial reporting for intangibles, is that the economy has c

The intestate leaves no spouse and no children The net estate devolves as follows: to his Father; or if dead Mother; or if dead Brothers and sisters, and any child o

Necessary things for Receivership If no power to appoint a receiver is given by the terms of issue, the trustee for the debenture holders, or a debenture holder acting on behal