What are the organizations and rules that govern accounting?
Understand the Problem
The question is asking about the different organizations and rules that govern accounting, including principles, assumptions, and regulatory bodies involved in the accounting profession.
Answer
FASB, SEC, GAAP, IFRS, IASB
The Financial Accounting Standards Board (FASB), the Securities and Exchange Commission (SEC), Generally Accepted Accounting Principles (GAAP), the International Financial Reporting Standards (IFRS), and the International Accounting Standards Board (IASB) are key organizations and regulations that govern accounting.
Answer for screen readers
The Financial Accounting Standards Board (FASB), the Securities and Exchange Commission (SEC), Generally Accepted Accounting Principles (GAAP), the International Financial Reporting Standards (IFRS), and the International Accounting Standards Board (IASB) are key organizations and regulations that govern accounting.
More Information
GAAP standardizes accounting practices in the U.S., while IFRS provides guidelines for international accounting. The FASB and the IASB are key entities in developing these standards.
Tips
A common mistake is to confuse GAAP and IFRS. GAAP is used primarily in the U.S., while IFRS is used internationally.
Sources
- What Are Generally Accepted Accounting Principles (GAAP)? - accounting.com
- Governmental Accounting Standards Board: What is GASB? - Accruent - accruent.com
- About the FASB - fasb.org
