# ASC 280-10-05: Segment Reporting — Overall — 05 Overview and Background Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/280/10/#05-overview-and-background) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-09T23:22:37.059Z to 2026-09-09T23:22:37.059Z Record version: sha256:84dfb0264ad72473787be7362787118c9fc6a814878741fff233206d1e7452ed Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 280-10-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/280/10/#05-overview-and-background) SEC content: no ##### [280-10-05-1](https://asc.understandingaccounting.org/asc/280/10/#280-10-05-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:22:37.059Z to 2026-09-09T23:22:37.059Z Record version: sha256:e311bb86ad3ddafb01a582e4c47f4003034cfdf000a234522f69ae8be34d4a2a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Segment Reporting Topic contains only the Overall Subtopic. ##### [280-10-05-2](https://asc.understandingaccounting.org/asc/280/10/#280-10-05-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:22:37.059Z to 2026-09-09T23:22:37.059Z Record version: sha256:be81dab1d80e8f28488dfccd99d011e50cf7777ef89ea84e7eb3adca55769b76 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic provides guidance to public entities on how to report certain information about operating segments in complete sets of financial statements of the [public entity](https://asc.understandingaccounting.org/glossary/p/#public-entity "A business entity or a not-for-profit entity that meets any of the following conditions: It has issued debt or equity securities or is a conduit bond obligor for conduit debt securities that are traded in a public market (a domestic or foreign stock exchange or an over-the-counter market, including local or regional markets). It is required to file financial statements with the Securities and Exchange Commission (SEC). It provides financial statements for the purpose of issuing any class of securities in a public market.") and in condensed financial statements of interim periods issued to shareholders. It also requires that public entities report certain information about their products and services, the geographic areas in which they operate, and their major customers. ##### [280-10-05-3](https://asc.understandingaccounting.org/asc/280/10/#280-10-05-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:22:37.059Z to 2026-09-09T23:22:37.059Z Record version: sha256:ebadced1c184f6871ada1b6bd9afae50848220e213cbe76a18defbeae25f92a8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A public entity could provide complete sets of financial statements that are disaggregated in several different ways, for example, by products and services, by geography, by legal entity, or by type of customer. However, it is not feasible to provide all of that information in every set of financial statements. The guidance in this Subtopic requires that general-purpose financial statements include selected information reported on a single basis of segmentation. The method for determining what information to report is referred to as the management approach. The management approach is based on the way that management organizes the segments within the public entity for making operating decisions and assessing performance. Consequently, the segments are evident from the structure of the public entity's internal organization, and financial statement preparers should be able to provide the required information in a cost-effective and timely manner. ##### [280-10-05-4](https://asc.understandingaccounting.org/asc/280/10/#280-10-05-4) Pending content: no Source downloaded (UTC): 2026-09-09T23:22:37.059Z to 2026-09-09T23:22:37.059Z Record version: sha256:4976403208088838206cb4e1d5b6aab09e343317a7627ccd6aed6efe7a18b13c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The management approach facilitates consistent descriptions of a public entity in its annual report and various other published information. It focuses on financial information that a public entity's decision makers use to make decisions about the public entity's operating matters. The components that management establishes for that purpose are called operating segments. ##### [280-10-05-5](https://asc.understandingaccounting.org/asc/280/10/#280-10-05-5) Pending content: no Source downloaded (UTC): 2026-09-09T23:22:37.059Z to 2026-09-09T23:22:37.059Z Record version: sha256:933d279a2833b7cbcaffe23153b56f25b66f8a885ae4caebaff8fd5b9c43b486 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. To provide some comparability between public entities, this Subtopic requires that an entity report certain information about the revenues that it derives from each of its products and services (or groups of similar products and services) and about the countries in which it earns revenues and holds assets, regardless of how the entity is organized. As a consequence, some entities are likely to be required to provide limited information that may not be used for making operating decisions and assessing performance.