Business unit costs highlighted in the segment accounting plan

Companies will have to disclose new expense details for their business units under the U.S. accounting rule makers plan, which represents the biggest change to segment reporting in 25 years.

Public companies would have to break down a series of new disclosures about their operating divisions’ most significant expenses in footnotes to their financial statements, the Financial Accounting Standards Board said in a proposal released Thursday.

As defined by the segment reporting standard ASC 280, an operating segment is the unit within a company that makes money and incurs expenses. Their operating performance is subject to what the accounting rules call periodic review…

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