Do the requirements of IFRS 8 Operating Segments enhance the quality Assignment

Do the requirements of IFRS 8 Operating Segments enhance the forest of discipline avail adapted to financial statement users - Assignment ExampleIFRS 8 states that an operating segment is a component of any organization that engages in business activities that earn revenue. The entitys operating results must as well as be regularly reviewed by the chief operating decision maker. In addition, the entity must have distinguishable financial education. In business, an operating segment is that an independent unit that produces discriminated revenue thus necessitating preparation of detach books of transactions. It helps companies to track their performance in different areas of the market (IFRS 8 website).The paper discusses the reasons why the provision of segmented information is useful, current requirements of IFRS 8 and how they differ with other past and present accounting standards. It also presents the prove as to whether the current requirements increase the quality of in formation available to users of financial statements.A good deed of market participants and stakeholders are usually interested in the disclosures of information regarding the operating segments of the company. The provision of segmental information ensures that users of financial statements access information relating to the firms past performance, their risks and returns so as to be able to make informed decision or judgment about the entity in stallionty (Christian & LuDenbach, 2013, p. 451). It ensures that users of information easily access the information regarding performance and prospects of the particular part of the entity that which they are interested. The stakeholders need to consider crumble prospects and performance of each sector so as to be able to estimate the performance of the entire enterprise fully.Provision of segmental information ensures transparency. Transparency is the cornerstone of any corporate financial report because analysts and other stakeholder s require complete and accurate information to assess the growth and