Distinguish between segment reporting and interim reporting
Answers
Segment reporting is the reporting of the operating segments of a company in the disclosures accompanying its financial statements. Segment reporting is required for publicly-held entities, and is not required for privately held ones. Segment reporting is intended to give information to investors and creditors regarding the financial results and position of the most important operating units of a company, which they can use as the basis for decisions related to the company.
Interim reporting is the reporting of the financial results of any period that is shorter than a fiscal year. Interim reporting is usually required of any company that is publicly held, and it typically involves the issuance of three quarterly financial statements each year. These statements include:
Balance sheet. As of the end of the current interim period and the immediately preceding fiscal year.
Income statement. For the current interim period, and the fiscal year-to-date, and the corresponding periods for the immediately preceding fiscal year.
Statement of cash flows. For the current fiscal year-to-date period, and the corresponding period for the immediately preceding fiscal year.