Which of the segments are reportable?
A business segment or geographical segment should be identified as a reportable segment if: (a) its revenue from sales to external customers and from transactions with other segments is 10 per cent or more of the total revenue, external and internal, of all segments; or (b) its segment result, whether profit or loss.
What is a reportable segment and how are reportable segments are identified?
Reportable segments are operating segments or aggregations of operating segments that meet specified criteria: [IFRS 8.13] its reported revenue, from both external customers and intersegment sales or transfers, is 10 per cent or more of the combined revenue, internal and external, of all operating segments, or.
What is segment reporting in accounting standards?
Segment reporting is the reporting of the operating segments of a company in the disclosures accompanying its financial statements. Segment reporting is required for publicly-held entities, and is not required for privately held ones.
What is segment reporting in as 17?
It is the total of: fraction of entreprise revenue directly attributable to a segment. portion of entreprise revenue that can be allocated on a reasonable basis to a segment. revenue from transactions with other segments of the enterprise.
When operating segments become reportable segments?
cent of the entity’s revenue, additional operating segments shall be identified as reportable segments (even if they do not meet the criteria in paragraph 13) until at least 75 per cent of the entity’s revenue is included in reportable segments.
Why is segment reporting required?
The objective of segment reporting is to provide information to investors and creditors regarding the financial results and position of the most important operating units of a company, which they can use as the basis for decisions related to the company.
What is segment as per AS 17?
Business segment is a distinguishable unit of an entreprise engaged in providing individual product or service or a group of related products or services.
What is the threshold for reportable segments?
Minimum number of reportable segments When the 75% threshold is not met, additional reportable segments should be identified (even if they do not meet the 10% thresholds), until at least 75% of the entity’s total external revenue is included in its reportable segments.
What is operating segment as per ind as 108?
Paragraph 5 of Ind AS 108, inter alia, states that an operating segment is a component of an entity whose operating results are regularly reviewed by the entity’s chief operating decision maker to make decisions about resources to be allocated to the segment and asses its performance.
Which of the following are the contents of as 17 segment reporting?
Under AS 17, a company is required to disclose more information which includes additional information such as reconciliation between segment revenue, results, assets and liabilities with financial statements, method of pricing inter-segment transfers, types of products and services in each business segment, composition …