Federal Accounting Standards Advisory Board (FASB)
The FAF is an organization responsible for the administration, and finances, of the FASB. The GAAP has many organizations that exist through the history of rule-making, including GASAC. http://www.ask.com/question Three organizations developed, or influenced the development of, the GAAP in the United States: the SEC, the AICPA, and the FASB. A separate but similar set of rules and principles govern state and local government reporting, as determined by the Governmental Accounting Standards Board (GASB).
Accountants generally apply GAAP through the use of FASB pronouncements referred to as Financial Accounting Standards (FASs), which are periodically published in industry bulletins. There are more than 100 FASs that have been issued over the years. They are supplemented by formal opinions and generally accepted assumptions in a particular sub-segment of the industry. For example, there exists a general assumption that financial statements must be based on the premise that a company will continue in existence unless there is substantial evidence to the contrary. Accountants are guided by these formal standards, …show more content…
The relatively unknown Federal Accounting Standards Advisory Board (FASAB) is responsible for setting accounting standards for federal entities. Since the GAO began auditing financial statements from a number of large federal agencies in 1997, the importance of FASAB’s standards has become more apparent. Similarly, as corporations transact more international business, the influence of the International Accounting Standards Board (IASB), which sets cross-border standards, has grown. As FASB and the IASB work toward the convergence of their differing standards, the line between U.S. GAAP and a truly global set of accounting principles will blur. To be prepared, CPAs should become familiar with all major standards
Accountants generally apply GAAP through the use of FASB pronouncements referred to as Financial Accounting Standards (FASs), which are periodically published in industry bulletins. There are more than 100 FASs that have been issued over the years. They are supplemented by formal opinions and generally accepted assumptions in a particular sub-segment of the industry. For example, there exists a general assumption that financial statements must be based on the premise that a company will continue in existence unless there is substantial evidence to the contrary. Accountants are guided by these formal standards, …show more content…
The relatively unknown Federal Accounting Standards Advisory Board (FASAB) is responsible for setting accounting standards for federal entities. Since the GAO began auditing financial statements from a number of large federal agencies in 1997, the importance of FASAB’s standards has become more apparent. Similarly, as corporations transact more international business, the influence of the International Accounting Standards Board (IASB), which sets cross-border standards, has grown. As FASB and the IASB work toward the convergence of their differing standards, the line between U.S. GAAP and a truly global set of accounting principles will blur. To be prepared, CPAs should become familiar with all major standards