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hello sir, i dont understand by this statements please explain what it means,
“if reported segmental revenue is less than 75% of the entity’s revenue then additional segments
shall be reported until at least 75% revenue has been reported”
thank you very much.Total revenue is say 1,000,000
Reported segments that are required to be shown have revenue (as percentages) of 30, 25 and 12
That’s a total of 670,000 segmentally reported revenue (67%)
But that’s not enough! We need to report 75%+
So we keep looking at the remaining segments 6%, 4% and lots of tiny ones
When we add onto the segmental analysis the 6% (60,000) and the 4% (40,000) now we’re up to 770,000 (77%) and then we disclose as a single figure “the rest” amounting to 230,000 and 23%
Clear?
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