operations and cash flows for this group can be clearly distinguished from the rest 634238

Envoy Co. manufactures and sells household products. Envoy experienced losses associated with its small appliance group. Operations and cash flows for this group can be clearly distinguished from the rest of Envoy’s operations. Envoy plans to sell the small appliance group with its operations. What is the earliest point at which Envoy should report the small appliance group as a discontinued operation?

1. When Envoy classifies it as held-for-sale.
2. When Envoy receives an offer for the segment.
3. When Envoy first sells any of the assets of the segment.
4. When Envoy sells the majority of the assets of the segment.