Question: A company operates in three segments: A, B, and C. The following data is available: Segment Revenue Operating Profit Assets A $500,000 $50,000 $300,000 B

A company operates in three segments: A, B, and C. The following data is available:

Segment

Revenue

Operating Profit

Assets

A

$500,000

$50,000

$300,000

B

$400,000

$40,000

$250,000

C

$100,000

$10,000

$100,000

Requirements:

(a) Prepare a segment report. (b) Calculate the segment margin for each segment. (c) Determine the return on assets for each segment. (d) Discuss the importance of segment reporting for stakeholders.

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