Segment Reporting

Question 1

What is tests to qualify a segment for separate segment reporting ?

Answer 1

Only IFRS requires an entity to report liabilities attributable for segments reported

10% Test of :
Revenue
Income(Loss)
Assets

• If one segment is higher than 90% of the total consolidated revenues no segment reporting is required for the entity.
• Component unit if 10% or more from the total consolidated revenue the segment qualify for discrete reporting
• 75% sufficiency test:

if all segments represents less than 75% of revenue more segments must be reported to reach the 75% even if these segments doesn’t qualify for segment reporting.