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    This posting addresses operating segment aggregation.

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    1.) When can information about two operating segments be aggregated?

    2.) How is accounting for pensions different than accounting for other post-retirement benefits?

    3.) The controller of a public company commented that if the company needs to disclose the company's segments individually, the only people who will gain are the competitors and the only people that will lose are the present investors. Do you agree or disagree with this statement?

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    https://brainmass.com/business/accounting/operating-segment-aggregation-462726

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    Answers:

    1.) Information about two operating segments can be aggregated when the two segments have the same characteristics in regards to five specific criteria, which are the method of the product and/or service distribution, the nature of the regulatory environment, the exact nature of the goods and/or services provided, the type or class of the customer, and the nature of the production processes used by the two operating segments. ...

    Solution Summary

    The solution provides a discussion on operating segment aggregation, and provides discussion on how the company's segments affect competition. References are also provided.

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