Disaggregated Financial-Accounting Information for Users (Concrete Measures to Improve International Financial Reporting)

With the increased complexity of business and with the growing popularity of the conglomerates business forms has become clear that enhanced financial reporting can not provide users with enough information to make decisions for high yield. Therefore, segment reporting is presenting disaggregated financial information relating to the operations of reporting entities in different areas of business or in different geographical regions. Because of the perception that domestic and foreign operations involve different risks for the entity, segment disclosures also include information about the entity's operations in the country and the export sales. Segment reporting of various types has become mandatory in many reporting schemes, although in most cases was limited to publicly traded entities.