Financial Accounting Standards Board

The Financial Accounting Standards Board (FASB) has been the assigned organization in a private sector for establishing standards. These standards are important to be useful because it allows investors to make informed decisions. Financial information must be reliable, consistent and transparent. Transparency refers to high-quality financial statements that are clear and easy to understand. Being transparent in financial reporting allows investors, creditors and the market to properly evaluate business entity. Being transparent also increases confidence in the fairness of the market. Since 1973, FASB has been part of a structure that’s independent of all other business and professional organizations. The rest of the parts are Financial Accounting…

The accounting standards guide the accounting and reporting of a company’s revenues, expenses, assets, and liabilities. In the accounting of non-financial assets under the Generally Accepted Accounting Principles (GAAP) and International Reporting Financial Standards (IFRS), there are perceived similarities and significant differences with far reaching implications in the accounting practice. Consequently, the Financial Accounting Standards Board (FASB) and the International Accounting Standards…

TRIRIGA addresses impact of 2019 lease accounting change Have you been preparing to deal with the impact of the brand new lease accounting upgrades with TRIRIGA? Even though FASB’s ASC 842 and IASB’s IFRS 16 is going to take effect in 2019, several businesses are just now starting to understand the effort and time necessary to satisfy the new requirements. As per a newly released article in the National Real Estate Investor, establishments will probably have to deal with considerable ‘heavy…

Amy Gabriel October 14, 2015 Intermediate Accounting- Case #1 Chico’s FAS, Inc. is a retail company that encompasses four brands: Chico’s, White House Black Market, Boston Proper, and Soma Intimates. The company earns revenue through the sale of women’s clothing and accessories in stores and online. Chico’s defines the critical accounting policies that they use to explain any discrepancies between the dollar amounts on the financial statements and the actual cash amount to its Audit Committee…

mission of powering the success of global business, CPAs, and CGMAs through the use of education, resources, and advocacy (AICPA, 2016). The AICPA supports FASB by providing technical support, standard setting, and guidelines to CPAs nationwide. Because accounting is complex in nature this governing body works in collaboration with other institutes to ensure that organizations are adhering to the accounting standards established under the General Accepted Accounting Principles (GAAP). This paper…

An in-depth understanding of the Standards Setting in the Accounting Industry (SSAI) is of major importance and the historical roots involving the roles of the Securities Exchange Commission (SEC) are critical aspects of accounting. The Financial Accounting Standards Board (FASB) and the American Institute of Certified Accountants (AICPA) is a prevalent and has been a useful set of standards for accountants. A presentation of an overview of the role of the U.S. Securities and Exchange Commission…

GASB VS. FASB The Government Accounting Standards Board (GASB) established in 1984, is an independent organization that determines and improves generally accepted accounting principles (GAAP) for U.S. state and local government entities. However, GASB is not a government entity, it is an operating component of the Financial Accounting Foundation (FAF), a private sector not-for-profit entity (GASB, "Facts About GASB "). The accounting and financial reporting standards established by GASB are…

What is the meaning of GAAP and IFRS? GAAP is the abbreviation for generally accepted accounting principles. Which is the values and guidelines pointed out by the Financial Accounting Standards Board (FASB). IFRS stands for International Financial Reporting Standards which intel’s the accounting standards developed by the International Accounting Standards Board (IASB). Which is the global standard for the planning of shared company financial statements. The start of the U.S. GAAP and IFRS was…

businesses reported revenues of $1.325 trillion. To record these transactions, these firms manage a large amount of data. Accountancy boards standardize the methods these companies use to record financial information. To facilitate the business flow, the boards have cooperatively created a new revenue reporting standard. The boards have also outlined the basic steps all firms should take when making the transition. Depending on the entity, the boards expect firm’s to adopt these new practice by…

SEC The International Financial Reporting Standards, also known as IFRS, are a set of accounting principles that are used globally. They were created by IASB, the Independent Accounting Standard-Setting Body. Over the past several years, the U.S. Security and Exchange Commission, also known as the SEC, has provided information and commented on whether or not investors and issuers of financial statements should use International Financial Reporting Standards to prepare their financial…