Apply threshold tests
The following information has been accumulated for use in preparing segment disclosures for Wod Corporation (in thousands):
|
Sales to Unaffiliated Customers |
Sales to Affiliated Customers |
Total Sales |
|
|
Apparel |
$164 |
— |
$ 164 |
|
Construction |
112 |
— |
112 |
|
Furniture |
208 |
$ 6 |
214 |
|
Lumber and wood products |
175 |
90 |
265 |
|
Paper |
90 |
— |
90 |
|
Textiles |
50 |
170 |
220 |
|
Tobacco |
93 |
— |
93 |
|
Total |
$892 |
$266 |
$1,158 |
REQUIRED
1. Determine Wod’s reportable segments under the 10 percent revenue test.
2. Are additional reportable segments required under the 75 percent revenue test?
3. Prepare a schedule to disclose revenue by operating segment for external reporting. Assume that the paper and tobacco segments, both sold in grocery stores, share similar operating characteristics on four of the five aggregation criteria.