Cherokee Company reported consolidated revenue of $90,000,000 in 20X5.Cherokee operates in two geographic areas,domestic and Europe.The following information pertains to these two areas:

What calculation below is correct to determine if the revenue test is satisfied for the European operations?
A) $28,000,000/$90,000,000
B) $28,000,000/$100,000,000
C) $32,000,000/$100,000,000
D) $32,000,000/$90,000,000

Question

Cherokee Company reported consolidated revenue of $90,000,000 in 20X5.Cherokee operates in two geographic areas,domestic and Europe.The following information pertains to these two areas:

What calculation below is correct to determine if the revenue test is satisfied for the European operations?
A) $28,000,000/$90,000,000 
B) $28,000,000/$100,000,000 
C) $32,000,000/$100,000,000 
D) $32,000,000/$90,000,000

Quizplus · Accepted Answer

The Answer of Cherokee Company reported consolidated revenue of $90,000,000 in 20X5.Cherokee operates in two geographic areas,domestic and Europe.The following information pertains to these two areas:

What calculation below is correct to determine if the revenue test is satisfied for the European operations?
A) $28,000,000/$90,000,000 
B) $28,000,000/$100,000,000 
C) $32,000,000/$100,000,000 
D) $32,000,000/$90,000,000

Cherokee Company Reported Consolidated Revenue of $90,000,000 in 20X5