### Summary

This video discusses the proposed Accounting Standards update for the disaggregation of income statement expenses, aiming to provide more detailed information about certain types of expenses on the income statement. The update focuses on public business entities and requires the disclosure of specific natural expense categories such as inventory and manufacturing expenses, employee compensation, and depreciation. Expenses not falling under these categories would require a qualitative description. The proposed requirements would be disclosed in the financial statement notes and are currently open for public comment until October 2023.

### Highlights

- 💼 The video addresses the proposed Accounting Standards update for income statement expense disaggregation.

- 📋 Public business entities, including SEC-filed public companies, would be subject to the requirements.

- 💱 Expenses like inventory, manufacturing, employee compensation, and depreciation require specific disclosure.

- 🔍 Other expenses not falling under the required categories would be qualitatively described.

- 📝 The proposed disclosures would be included in the financial statement notes, not as new presentation requirements.

- ⏰ Most disclosures would be required for both annual and interim reporting periods.

- 📆 Entities would not be required to provide disclosures for comparative prior periods, but they have the option to do so.