SEC guidance

ASC 105-10 establishes the FASB Accounting Standards Codification as the single source of authoritative U.S. GAAP for nongovernmental entities, with SEC rules and interpretive releases (plus SABs and staff announcements) also authoritative for SEC registrants. Everything not in the Codification (other than grandfathered guidance) is nonauthoritative. When no authoritative guidance addresses a transaction, an entity looks first by analogy to authoritative guidance for similar transactions (unless analogy is prohibited) and only then to nonauthoritative sources such as Concepts Statements, IFRS, and prevalent industry practice.

ASC 280-10 requires public entities to disclose information about their operating segments using the "management approach" — segments are the components whose discrete financial results the chief operating decision maker (CODM) regularly reviews to allocate resources and assess performance (280-10-50-1). Operating segments that meet the 10 percent revenue, profit/loss, or asset thresholds (or are needed to reach the 75 percent of consolidated revenue floor) are reportable, and the entity must disclose segment profit or loss, assets, significant segment expenses, and reconciliations to consolidated amounts. All public entities, including single-reportable-segment entities, must also give entity-wide disclosures about products and services, geographic areas, and major customers.