000 rubles, in the balance sheet of the subsidiary - 100,000 rubles. Head share
organization in the authorized capital of the subsidiary is 70%. IN
the summary (consolidated) balance sheet under the item "Authorized capital" will be
shown:
600,000 rub.
RUB 460,000
500,000 rub.
RUB 430,000
The retained earnings of the associate for the reporting year amount to
100,000 rub. Share of the parent organization in the authorized capital of the dependent
society - 30%. Share of the parent organization in the profit of the dependent
of the company is:
100,000 rub.
30,000 rub.
70,000 rub.
Actual expenses of the parent organization to the dependent company
amount to 100,000 rubles. Share of the parent organization in the authorized capital
dependent company - 30%. Retained earnings of the dependent
the company's investment amounted to 50,000 rubles for the first year, for the second year
investments - 10,000 rubles. Assessment of the participation of the parent organization in the subsidiary
society is:
100,000 rub.
160,000 rub.
RUB 118,000
Topic 13. Segment reporting and related information
financial statements
PBU 12/2010 defines the rules for the formation and presentation
information by segments in the financial statements:
Credit organizations
Non-profit organizations
Commercial organizations
PBU 12/2010 provides for the allocation of segments:
Primary
Geographical
Reporting
Statistical
List of segments for which information is disclosed in the accounting
reporting is determined by:
Tax authorities
The organization itself
Statistical authorities
Credit institutions
Choose the correct answers (2). List of segments for which it is required
disclosure of information in the financial statements of an organization depends
from her:
Technological structure
Accounting Forms
Organizational structure
Options for consolidated production cost accounting
Management structure
Select the correct answers (4).Multiple operating segments can
be defined as a single segment provided they are similar in:
Accounting form
Production process
Accounting policy
Consumers (buyers)
Sales (distribution) methods
Legal conditions for doing business
Methods of cost accounting and calculation of product costs
PBU 12/2010 Generation of information by geographic segments:
Regulates
Does not regulate
Several states
Methods for selling goods
Region of the Russian Federation
Organizational activity management systems
Regions of the Russian Federation
For reportable segments allocated during the preparation of accounting
reporting, the organization’s revenue must account for at least:
85%
Choose the correct answers (2). Revenue (income) of the reporting segment
are not:
Interest and dividends, unless they are subject to
segment activities
Income from the sale of financial investments, except when they
are the subject of the segment's activities
Fines, penalties, penalties received
Income from the sale of goods
The expenses of the reportable segment are not:
Expenses associated with the purchase of labor tools
Amounts of accrued depreciation on fixed assets
General running costs
The liabilities of the reporting segment include income tax debt:
Turns on
Doesn't turn on
Assets used in two or more reportable segments are subject to
distribution between them if the corresponding income and expenses:
Distributed
Not distributed
Choose the correct answers (3). The procedure for distribution of income, expenses,
assets and liabilities related to two or more reportable segments,
depends on:
Nature of accounting objects
Degrees of their territorial remoteness
Types of activities
Organizational management structures
General economic conditions
Degrees of isolation of reporting segments
Select the correct answers (2). When disclosing information on reporting
information is allocated to segments:
Summary
Internal
Primary
Secondary
The primary one is the disclosure of information on operational
Geographical regions of activity
Produced goods, works, services
Disclosure of information by geographical location is recognized as primary
segments if the organization's risks and profits are determined by differences in:
Geographical regions
Produced goods, works, services
If an organization's risks and profits depend equally on differences in
produced goods, works, services and differences in geographical
regions of activity, then information on segments is recognized as primary:
Operational
Geographical
The main indicators disclosed by segments include:
Revenue (income), financial result, expenses
Assets and liabilities by segments
Revenue (income), financial result, expenses, assets and
liabilities by segment
When isolating information by segment, the following is taken into account:
General economic, currency, credit, price risks
Political risks to which the activity may be exposed
organizations
All the above answers are correct
Material and technical base of the organization
The identification of the primary operating reporting segment is based on
on the:
Maximum discrepancy between profitability indicators and risks
activities and profit
Quantitative assessment of data included in the indicators
reporting
The following information is disclosed for each reportable segment: (3
correct answer)
Financial result for the reporting period
Segment profitability
Costing - calculation of the cost of products produced by the reporting
segment
Total assets at the reporting date
Total liabilities at the reporting date
An operating or geographic segment is reportable if:
Revenue from sales to external customers and from transactions with others
revenue of all segments - revenue from sales to external customers and from transactions with other
segments of this organization is at least 5% of the total amount
operating segment revenue
Revenue from sales to external customers and from transactions with others
segments of this organization is at least 10% of the total amount
revenue of all segments
Thus, segments have their own assets, liabilities are identified with them, income and expenses can be reasonably attributed to them, and therefore the financial result of activities can be determined.
Reportable segment assets and liabilities Segment assets include current assets - inventories, accounts receivable, cash used in the segment's business activities, fixed assets, intangible assets, but do not include those assets that are used for the general purposes of the organization and for its management. Assets used by two or more segments, to the extent that they can be reasonably and reliably determined to be part of the segment's assets, are included in the segment's financial statements.
The segment's liabilities consist of accounts payable to suppliers, advance receipts, and accrued liabilities. Loan and credit obligations are recognized in the segment's financial statements only when the interest on them is paid out of the results of the segment's operations. Income tax liabilities are not included in segment reporting.
Segment results (segment results) are determined by comparing its income and expenses.
Segment income (revenue) consists of two components:
Revenues that can be directly attributed to the segment;
The portion of an organization's total revenue that can reasonably be attributed to a given segment. To determine it in practice, indirect calculation methods are used.
Operating segment income is revenue from the sale of certain goods, from performing certain work, and providing certain services.
Geographical segment income is revenue from the production of goods, performance of work, and provision of services in a certain geographic region of activity.
If segments sell products (works, services) among themselves, then external prices, rather than transfer prices, are used to objectively assess their income. The following are not segment income:
Interest and dividends, income from the sale of financial investments, except when such income is the subject of the segment’s activities;
Extraordinary income (receipts) arising as a consequence of extraordinary business circumstances (natural disaster, fire, accident, etc.). A similar approach is proposed for accounting for segment expenses. Like income, they consist of two components:
Expenses that can be directly attributed to the segment;
The portion of an organization's total expenses that can reasonably be allocated to a given segment. This component, unlike the first one, is calculated by indirect methods.
The following are not included in segment expenses:
Expenses on financial investments, if these financial investments are not the subject of the segment’s activities;
Income tax;
Extraordinary expenses (losses from natural disasters, strikes, terrorist attacks and other similar events).
The financial result of a segment's activities (profit or loss) is determined as the difference between the income it receives and the expenses incurred.
If the organization's internal segments are not based on the groups of related goods (services) required by the standard or not on the geographical location of objects, then to determine the reportable segments it is necessary to consider the next (lowest) level of intra-company segmentation. When selecting reportable segments, the organization independently classifies the grounds for assigning segments to primary and secondary groups.
Secondary reportable segments require significantly less disclosure than primary reportable segments.
The selection of primary and secondary information for reporting segments is made based on the prevailing sources and the nature of the existing risks and profits received from the organization's activities. The prevailing sources and nature of risks and rewards are identified based on the organization's organizational and management structure, as well as its internal reporting system, which is often called the “management approach”. This approach provides clear evidence of the predominant source of risk and reward for segment reporting purposes. This source of risk and reward determines the primary segment reporting format, and the secondary source of risk and reward determines the secondary segment reporting format.
1. If the risks and profits of an organization are determined mainly by differences in the goods, works, and services produced, then information on operating segments is recognized as primary, and information on geographic segments is considered secondary.
2. If the risks and profits of an organization are determined mainly by differences in the geographical regions of activity, then information on geographical segments is recognized as primary, and information on operating segments is recognized as secondary.
3. If the risks and profits of an organization are determined equally by differences in the goods, works, services produced and differences in the geographic regions of activity, then information on operating segments is considered primary, and information on geographic segments is considered secondary.
4. If the organizational and management structure of the organization, as well as the internal reporting system, are not based on the goods, works, services produced, or on the geographical regions of activity, then the allocation of primary and secondary information for reporting segments is made based on the decision of the head of the organization.
The choice of the composition of operating and geographic segments, their classification into primary and secondary, is often based on subjective decisions of the organization's management. When selecting reportable segments, keep in mind the users of the financial statements. Care must be taken to ensure that segment reporting is relevant, reliable and comparable over time.
After identifying reportable segments, it is necessary to decide in what format to present information about their activities. The Regulation distinguishes two concepts of information by segment: “primary” and “secondary”. The decision about which of them should be primary ultimately depends on the organizational and management structure of the organization, on the construction of the internal reporting system.
The primary criteria used to differentiate between reportable segments are risk and return.
If the risks and profits of an organization are determined mainly by differences in the goods, works, and services produced, then the disclosure of information by operating segments is considered primary, and the disclosure of information by geographic segments is considered secondary: for example, the dispersion in the levels of profitability of sales is observed more by type of product than by geographic region.
If an organization's risks and profits are determined primarily by differences in the geographic regions of its operations, then information on geographic segments is considered primary, and information on operating segments is considered secondary.
In any case, the following indicators are disclosed as part of the primary information for the reporting segment:
Total revenue, including those received from sales to external customers and from transactions with other segments;
Financial result (profit or loss);
Total balance sheet amount of assets;
Total amount of liabilities;
The total amount of capital investments in fixed assets and intangible assets;
The total amount of depreciation charges for fixed assets and intangible assets.
Secondary information in this case will be represented by data on the activities of operating segments. They are allocated additionally and must satisfy one of two conditions:
Revenue from external sales of this segment is at least 10% of the organization’s total revenue;
The value of assets of this segment is at least 10% of the value of assets of all operating segments.
If operating segments are separated, the following secondary information is presented in the financial statements for them:
Revenue from sales to external customers;
Balance sheet value of assets;
The amount of capital investment in fixed assets and intangible assets.
If the organizational and management structure of the organization, as well as the internal reporting system, are not based either on the goods, works, services produced, or on the geographic regions of activity, then the procedure for generating primary and secondary information by segments is determined by the decision of the organization’s management. Reportable segment information must be prepared in accordance with the entity's accounting policies. The organization entrusted with the preparation of consolidated financial statements also establishes accounting policies regarding information for the reporting segment. Changes in accounting policies that significantly affect the assessment and decision-making of interested users of information on reportable segments (definition of reportable segments, methods of distribution of income, expenses between reportable segments, etc.), as well as the reasons for these changes and assessment of their consequences in monetary terms are subject to separate disclosure in financial statements (consolidated financial statements).
The term “segment” translated from the Latin “segmentum” means “segment”, “part of a circle”. In relation to information generated in financial statements, segment is an easily distinguishable component of a company involved in the production of a separate product (service) or a group of related goods and services. According to the requirements of PBU 12/2000, information about a segment is information that discloses part of the organization’s activities in certain business conditions by presenting an established list of indicators of the organization’s financial statements.
Thus, a segment is a separate part of the organization’s activities in certain economic conditions, which stands out in the overall activities of the organization in terms of the level of risk or profit.
The need to disclose this information in the financial statements is also established in Section VI “Content of Explanations to the Balance Sheet and Profit and Loss Statement” PBU 4/99. According to paragraph 27 of PBU 4/99, explanations to the balance sheet and profit and loss statement must disclose additional data, in particular data on sales volumes of goods (work, services) by type (industry) of activity and geographic markets (activity).
Information on segments is disclosed in the financial statements in accordance with the requirements of PBU 12/2000 as follows:
By type of activity (operating segments);
By geographic location (geographic segments).
Operating segment represents a separately allocated component of an organization engaged in activities for the production of a certain product, performance of a certain work, provision of a certain service or homogeneous groups of goods, works, services, which is subject to risks and profits that are different from the risks and profits for other goods, works, services or homogeneous groups of goods, works, services.
When isolating information on operating segments, several types of goods (works, services) can be combined into a homogeneous group, provided they are similar in all or most factors. These are the following factors:
Purpose of goods (works, services);
The process of producing goods (performing work, providing services);
Consumers (buyers) of goods (works, services);
Methods of selling goods and distributing works (services);
Organizational performance management systems (if applicable in a specific situation).
Geographic segment represents a separately allocated component of an organization engaged in the production of products, performance of work, provision of services in a certain geographic region, which is subject to risks and profits that are different from the risks and profits that occur in other geographic regions of the organization's activities.
Therefore, geographic segment information is information that reveals significant aspects of an organization's activities in a specific geographic region.
According to PBU 12/2000, information on a geographic segment can be allocated in two ways:
1) at the location of the organization’s assets;
2) according to the location of sales markets.
The generation of information on a geographic segment can be carried out for a specific state or several states, region or regions of the Russian Federation.
Based on the organizational structure and internal reporting system, information on a geographic segment can be distinguished by the location of assets (conducting the organization’s activities) or by the location of sales markets (consumers (buyers) of goods, works, services).
When isolating information by geographic segments, in accordance with the requirements of clause 8 of PBU 12/2000, it is necessary to proceed from the following characteristics:
Similarities in the conditions that determine the economic and political systems of the states in whose territory the organization operates;
The presence of stable connections in activities carried out in different geographical regions;
Similarities of activities;
Risks inherent in the organization's activities in a specific geographic region;
Generalities of currency control rules;
Currency risk associated with an organization's activities in a specific geographic region.
Under IFRS 14, segment information is presented by both geographic and operating segments. At the same time, an operating segment is a separately distinguished component of an enterprise engaged in the production of products or the provision of services, the risks and rewards of which differ from the risks and rewards of other industry segments (for example, industrial, agricultural, financial segments).
IFRS identifies segments on the basis of organizational and management structures and internal financial reporting frameworks, often referred to as the management approach, which provide demonstrable evidence of the predominant source of risk and reward for segment reporting purposes. This source of risk and reward determines the primary segment reporting format, and the secondary source of risk and reward determines the secondary segment reporting format. IFRS 14 requires the use of a lower level of internal segmentation. The requirement arises in connection with the identification of internal segments that are not related either to products and services or to geographical areas (for example, a segment by type of legal form of formation of an enterprise). In this case, reporting on internal segments is presented together with reporting on groups of products or services or by geographic area.
Geographic segments as required by IFRS 14 may be based on the location of the entity's operations or the location of its markets and customers.
PBU 12/2000 contains the main features that serve as the basis (conditions) for isolating information by segments.
The segment for which information is the most significant and, accordingly, subject to mandatory disclosure in the financial statements, is called reportable segment. Thus, reportable segment information is information about a separate operating or geographic segment that is subject to mandatory disclosure in the accounting statements or consolidated financial statements.
When isolating information on reporting segments, general economic, currency, credit, price, and political risks to which the organization’s activities may be exposed are taken into account. At the same time, when isolating information on reportable segments, risk assessment does not imply their exact quantitative measurement and expression.
The list and types of segments, information on which is disclosed in the financial statements, are established by the organization independently, depending on its organizational and management structure and internal accounting and reporting systems. To do this, in the order on accounting policies, based on the segmentation logic chosen by the organization, it is necessary to determine the types (groups) of goods (works, services) that will be included in the information on segments.
Example 1.
Selecting a geographic segment. The company "Upakovka" is engaged in the production and sale of containers and packaging materials. Its organizational and management structure is built on a territorial (geographical) principle: subordinate to the head office located in Moscow, there are five separate structural divisions in the cities of Odintsovo, Nakhabino, Mozhaisk, Kolomna, Noginsk, each of which is engaged in the production and sale of containers and packaging materials in your region.
For the Upakovka company, the reporting segment is the geographic segment, since the total sales revenue consists of several components that differ by territorial (geographic) basis. The assets of the Upakovka company are also located on a territorial (geographic) basis.
Example 2.
Isolation of an operating segment. The Moscow diversified company "Women's Clothing" is engaged in sewing and selling women's outerwear. The diversified company includes:
Production workshop for sewing women's outerwear;
Workshop for production services for minor repairs of women's outerwear - adjusting products to the buyer's figure, changing the length of products, inserting zippers, elastic, shoulder pads, etc.;
A company store selling women's clothing of its own production, as well as the sale of sewing products from commercial partners of the company "Women's Clothing";
A warehouse of finished products that sells finished products for cash directly from the warehouse.
In addition, the company "Women's Clothes" entered into a long-term contract with the clothing factory for the processing of customer-supplied raw materials and the production of men's suits.
The reportable segment for the Moscow diversified company "Women's Clothing" is the operating segment, since its sales revenue consists of the following operating components:
Proceeds from the sale of finished products according to sales and purchase agreements concluded with wholesale companies;
Revenue from the sale of self-produced products through your own company store;
Proceeds from the sale of clothing products of its commercial partners through its own company store;
Revenue from the sale of finished products directly from the finished product warehouse;
Proceeds from the sale of men's suits produced under a contract for the processing of customer-supplied raw materials;
Proceeds from the sale of production services for minor repairs of women's outerwear.
The sequence of actions for identifying segments and preparing information on them to be disclosed in the financial statements is presented in the diagram.
Scheme for summarizing data in the journal-order form of accounting.
According to PBU 12/2000, an operating or geographic segment is considered reportable if a significant amount of its revenue is received from sales to external customers and at least one of the following conditions is met:
Revenue from sales to external customers and from transactions with other segments of this organization is at least 10% of the total revenue (external and internal) of all segments;
The financial result of the activity of a given segment (profit or loss) is at least 10% of the total profit or total loss of all segments (depending on which value is greater in absolute value);
The assets of this segment account for at least 10% of the total assets of all segments.
The norms of PBU 12/2000 do not provide a quantitative definition of the term “significant amount of revenue” from sales to external customers, the receipt of which is inextricably linked with the decision on the qualification of a segment as a reportable one. In this regard, when an organization makes a decision to qualify a segment as a reportable one, the professional judgment of the accountant, based on the requirement of materiality of the reporting data in accordance with the specifics of the activities of a particular organization, will be decisive.
PBU 4/99 states that indicators of individual assets, liabilities, income, expenses and business transactions should be presented separately in the financial statements if they are significant and if without knowledge of them by interested users it is impossible to assess the financial position of the organization or the financial results of its activities .
The decision on whether to recognize an indicator as significant is made by a commercial organization. The materiality criterion becomes one of the most important elements of the organization’s accounting policy. This criterion must also be followed when generating and presenting information on segments.
IFRS 14 states that operating and geographic segments are reportable segments if the following conditions are met:
The majority (over 50%) of revenue is generated through external sales;
A segment's sales revenue or results or assets are greater than or equal to 10% of the total respective amounts of all segments.
IFRS 14 also provides that if all revenue from external customers across all reportable segments combined represents less than 75% of an entity's revenue, additional segments should be identified as reportable until the 75% level is reached.
According to PBU 12/2000, the reportable segments identified during the preparation of the organization’s financial statements must account for at least 75% of the organization’s revenue.
If the reportable segments identified during the preparation of the organization’s financial statements account for less than 75% of the revenue, then additional reportable segments must be allocated regardless of whether they individually satisfy the conditions provided for in clause 9 of PBU 12/2000 or not.
Since the financial statements are prepared on an accrual basis from the beginning of the year, the required percentages when identifying reporting segments are also determined using actual indicators calculated on an accrual basis from the beginning of the year.
IFRS 14 provides that small segments may be combined into one if they are related by a significant number of factors that define the industry or geographic segment, or can be combined with a similar significant reportable segment. If such segments are not presented separately in the reporting and are not combined into one segment, they are shown as an unallocated (by segments) value.
A segment that is not considered reportable in the current period under the requirements of IFRS 14, but was considered reportable in a previous period under the terms of this international standard, should continue to remain reportable if it is significant from the point of view of the company's managers (for example, in the process of developing future market strategy) .
In accordance with PBU 12/2000, consistency in the allocation of reporting segments must be ensured. A reportable segment identified in the period preceding the reporting period must be allocated in the reporting period regardless of whether it satisfies the conditions for recognition of a reportable segment in the reporting period. In this regard, the segment is recognized as reporting in all subsequent periods, if once it was recognized as such in accordance with the requirements of PBU 12/2000.