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Trimester Corporation's revenue for the year ended December 31, 20X8, was as follows: Consolidated revenue per income statement 600,000 Intersegment sales 45,000 Intersegment transfers 10,000 Combined revenue of all industry segments 655,000 Trimester has a reportable operating segment if that segment's revenue exceeds:

User MaLio
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Final answer:

Trimester Corporation needs to assess segment revenues against a quantitative threshold to determine reportability, but the exact figure is not given. For the self-check question, the firm's accounting profit is calculated by subtracting labor, capital, and material costs from sales revenue, amounting to $50,000.

Step-by-step explanation:

Trimester Corporation's revenue for the year ended December 31, 20X8, included consolidated revenue per income statement of $600,000 with additional intersegment sales of $45,000 and intersegment transfers of $10,000. When considering reportable operating segments, one would look for segments whose revenues, external and intersegment combined, exceed a certain quantitative threshold based on the organization's internal reporting structure and applicable accounting standards. However, without a specific threshold provided in the question, we cannot determine the exact revenue figure required for a segment to be considered reportable. Typically, common thresholds are a certain percentage of either total company revenue, profit, or assets.

To answer the self-check question, if a firm had sales revenue of $1 million last year and spent $600,000 on labor, $150,000 on capital, and $200,000 on materials, the firm's accounting profit would be calculated by subtracting these costs from the sales revenue. Accounting profit = $1,000,000 - ($600,000 + $150,000 + $200,000) = $50,000. Hence, the firm's accounting profit is $50,000.

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