Public Company Reporting Topics F11-21b

A reportable segment is one that meets one or more of three quantitative tests. What are they?

1. The operating system’s revenue from all sources is 10% or more of the combined revenues of all company’s reported operating segments.
2. The operating segment’s operating profit or loss is 10% or more of the greater the combined operating profit and the combined loss.
3. The operating segment’s identifiable assets are 10% or more of the combined assets of all operating segments.