7.1 Overview
ASC 280 requires an entity to disclose qualitative information about each
reportable segment (see Chapters 4 and
6) as well as to provide entity-wide
disclosures about products and services and geographical operations regardless of
how the entity is organized (see Chapter 5).
Key Takeaways
- Segments, as defined by ASC 280, provide the basis for disclosures in the business and MD&A sections of a registrant’s filing.
- When evaluating its segment disclosures, a registrant should carefully consider the SEC’s guidance on non-GAAP measures as well as the reporting implications of retrospective changes.