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Differences in Segment Reporting
Segment reporting has been required in the United States since 1976, and the requirements for U.S. based companies have evolved over many years. The IASB has worked with the FASB in recent years to reduce the differences between the United States standards and standards for the international community.
While the differences in reporting have been reduced, segment reporting is still not required in some countries and is reported differently in others. For example, a difference exists in many countries for the definition of a reportable segment.
For this assignment, discuss how a segment is defined in Germany. Also, analyze the segment information in the annual report that is attached. What are the requirements for this company? Is the company following U.S. Standards, International Standands (IFRS), or the German standards (German GAAP)? Does the company meet requirements, and is transparency evident in the notes to the financial statements? Discuss the differences that exist between the disclosures for BMW, using their current annual report (which is attached) versus what would be required if the company used U.S GAAP.
APA Format. Cite resources in text if needed. 1 page minimum.
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