Segment reporting, Cost Accounting

Assignment Help:

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


Related Discussions:- Segment reporting

Classification of cost, what is the meaning of classification of cost in re...

what is the meaning of classification of cost in relation to variability?

Marginal cost, Role f marginal costing in management information system

Role f marginal costing in management information system

First in first out or fifo, First in First Out or FIFO FIFO method is ...

First in First Out or FIFO FIFO method is based upon the assumption such stock purchased first is issued first. Prices of stock purchased first are employed to determine the v

Direct material usage variance, Direct Material Usage Variance Refers ...

Direct Material Usage Variance Refers to the difference among the actual quantity utilized and the standard quantity particular for the actual production, all valued at the st

Labour cost, labour cost related case study with solution

labour cost related case study with solution

An impact on the breakeven, We've all experienced (or heard about) the chal...

We've all experienced (or heard about) the challenges that the airlines have been facing. Read the Zacks Investment Research article, "Airline Industry Stock Outlook - August 2012"

Compute the industry volume variance for each product, The next year's budg...

The next year's budget for Benny, Inc., is given below: Product 1 & 2 Sales $945,000 & 688500 Variable costs 459,900 & 297,000 Fixed costs 300

Calculate the consumption ratios for each product, The activity driver for ...

The activity driver for the shipping activity is the number of orders shipped. Product A uses 20 orders and Product B uses 60 orders. Calculate the consumption ratios for each prod

MARGINAL AND ABSORPTION COSTING, MARGINAL COSTING IS PREFERRED TO ABSORPTIO...

MARGINAL COSTING IS PREFERRED TO ABSORPTION COSTING IN DECISION MAKING WHY

Closing a factory , i have a factory and 87 employees . we have a closure p...

i have a factory and 87 employees . we have a closure plan in 12 months. what would be the charges?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd