The major argument against segment disclosure is that
A) data collection costs are high
B) that competitors will take advantage of the data
C) earnings conservatism will be affected
D) in some cases it may be inappropriate and misleading

Question

Quizplus · Accepted Answer

In some cases, segment disclosure may be inappropriate and misleading to investors or stakeholders, leading to incorrect decision-making. Factors such as the size and significance of the segment, similarity or differences in products or services, and the specific nature of operations need to be considered before disclosing segment information. Therefore, the argument against segment disclosure is that in some cases, it may be inappropriate and misleading.

The Major Argument Against Segment Disclosure Is That