Financial accounting standard-setting in the United States can be described as:
A) A democratic process in the sense that a majority of accountants must agree with a standard before it becomes enforceable.
B) A research process based on empirical findings
C) A political process which reflects actions of various interested user groups as well as a product of research and logic.
D) A legalistic process based on rules promulgated by governmental agencies

Question

Quizplus · Accepted Answer

Financial accounting standard-setting in the United States is a political process that takes into account the interests of various user groups and involves input from both public and private organizations. While research and empirical findings do play a role, ultimately the decision to adopt a standard is driven by the political process.

Financial Accounting Standard-Setting in the United States Can Be Described