West Corporation reported the following consolidated data for 20X2:

Sales	$	801,000
Consolidated income before taxes		138,000
Total assets		1,300,000

Data reported for West’s four operating divisions are as follows:

	Division A			Division B			Division C			Division D
Sales to outsiders	$	270,000		$	150,000		$	330,000		$	51,000
Intersegment sales		62,000						16,000			21,000
Traceable costs		255,000			100,000			300,000			92,000
Assets		491,000			115,000			510,000			85,000

Intersegment sales are priced at cost, and all goods have been subsequently sold to nonaffiliates. Some joint production costs are allocated to the divisions based on total sales. These joint costs were $45,000 in 20X2. The company’s corporate center had $30,000 of general corporate expenses and $130,000 of assets that the chief operating decision-maker did not use in making the decision regarding the operating segments.

Required:

Each of the following items is unrelated to the others.

The divisions are industry segments.

Prepare a segmental disclosure worksheet for the company. (Do not round your intermediate calculations.)

	Operating Segments
	A	B	C	D	Corporate Admin.	Combined	Intersegment Eliminations	Consolidated
Revenues:
Sales to unaffiliated customers
Intersegment sales
Total revenue
Operating costs:
Traceable costs
Allocated
Segment profit (loss)
Other items:
General corporate expenses
Income from continuing operations
Assets:
Segment
General corporate
Total assets

Prepare schedules showing which segments are reportable

Segments	Revenue	Segment Profit	Segment Assets
A
B
C
D

Assume that each division operates in an individual geographic area, Division A is in the domestic area, and each of the other divisions operates in a separate foreign country. Assume that one-half of the assets in each geographic area represents long-lived, productive assets as defined in ASC 280. Prepare schedules showing which geographic areas are reportable using a 10 percent materiality threshold.

Country	Revenue	Long-Lived Assets
A Domestic
B Foreign
C Foreign
D Foreign

Determine the amount of sales to an outside customer that would cause that customer to be classified as a major customer under the criteria of ASC 280.

Amount of sales

Answer rating: 100% (QA)

a1 Operating Segments Corporate Combined Intersegment Elimination Consolidated A B C D Revenues Sale... View the full answer