If an operating segment does not meet all of the thresholds of significance, it:
A) may not be designated as a reportable segment;
B) may still be designated as a reportable segment;
C) must be combined with the largest of the other segments and reported in aggregate;
D) is insignificant and cannot be reported separately.

Question

Quizplus · Accepted Answer

Even if an operating segment does not meet all of the thresholds of significance, it can still be designated as a reportable segment if it meets certain criteria such as contributing to a company's revenue or profit. Therefore, option B is correct.

If an Operating Segment Does Not Meet All of the Thresholds