Question: Tech Company sells personal computers, mainframes, and software in more than seven countries. The company is required to file financial statements annually with a securities

Tech Company sells personal computers, mainframes, and software in more than seven countries. The company is required to file financial statements annually with a securities commission. The controller has just compiled the following information on last year’s revenues:

Revenues (in millions) Personal computers Mainframes Software United States Canada Europe Asia


Required:
Which of the above should be reported as an operating segment and which as a geographical segment in a note to the financial statements?

Revenues (in millions) Personal computers Mainframes Software United States Canada Europe Asia Africa South America $94 52 6 $152 $36 44 30 18 12 12 $152

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