AS-17 Segment Reporting

AS-17 Segment Reporting

The objective of this Standard is to establish principles for reporting financial information about the different types of products and services an enterprises produces and the different geographical areas. Purpose of this standard  are

  1. Better understand the performance of the enterprise.

2.Better assess the risk and return of the enterprise

3.Make more informed judgement about the enterprise as a whole.

Key Terms

A business segment is a distinguishable component of an enterprises that is engaged in providing an individual product or service or a group of related products or services and that is subject to risk and return that are different  from those to other business segments.

A geographical segment is a distinguishable component of an enterprise that is engaged in providing products or services within a particular economic environment and that is subject to risks and return that are different from those of components operating in other economic environments.

A re portable segment is a business segment or a geographical segment identified on the basis of definitions of business segment and geographical segment for which segment information is required to be disclosed by this standard


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