CIMA Exam CIMAPRA19-F02-1 Topic 5 Question 94 Discussion

Actual exam question for CIMA's CIMAPRA19-F02-1 exam

Question #: 94
Topic #: 5

Operating segments are separately reportable where they exceed 15% of revenue / profits / assets. These must in total cover 80% of total revenue. Is this statement true or false?

ATrue

BFalse

Show Suggested Answer

Suggested Answer: B

by Lizbeth at Aug 02, 2024, 01:45 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRA19-F02-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Elliott

3 months ago

I agree with Jamie, it helps provide a clearer picture of the business.

upvoted 0 times

...

Jamie

4 months ago

But it makes sense, as it ensures significant segments are reported.

upvoted 0 times

...

Dean

4 months ago

I disagree, I believe it's false.

upvoted 0 times

...

Theola

4 months ago

True, but what if my company has 100 tiny segments? Do I still have to report on 80% of that? Sounds like a nightmare!

upvoted 0 times

...

Jamie

4 months ago

I think the statement is true.

upvoted 0 times

...

Willow

4 months ago

False, this is clearly a trick question. Everyone knows accountants love making things complicated.

upvoted 0 times

...

Sharita

4 months ago

True, but I bet the examiners are just trying to catch us out with the wording. Sneaky, sneaky.

upvoted 0 times

Elke

2 months ago

A) True

upvoted 0 times

...

Jenifer

3 months ago

I think it's true, they always try to trick us with the wording.

upvoted 0 times

...

Oneida

3 months ago

B) False

upvoted 0 times

...

Lai

3 months ago

A) True

upvoted 0 times

...

Azalee

4 months ago

False, that's way too high of a requirement. Ain't nobody got time to report on 80% of revenue!

upvoted 0 times

Harrison

3 months ago

False, that's way too high of a requirement. Ain't nobody got time to report on 80% of revenue!

upvoted 0 times

...

Providencia

4 months ago

B) False

upvoted 0 times

...

Maryln

4 months ago

A) True

upvoted 0 times

...

Sue

5 months ago

True, that's the standard threshold for reportable segments. Gotta cover the big bucks!

upvoted 0 times

Junita

4 months ago

Exactly, the segments must cover a significant portion of the total revenue to be separately reportable.

upvoted 0 times

...

Iesha

4 months ago

True

upvoted 0 times

...

Tyra

4 months ago

That's correct! The threshold for reportable segments is indeed 15% of revenue / profits / assets.

upvoted 0 times

...

Phil

4 months ago

A) True

upvoted 0 times

...