Once the FASB has established an accounting standard,the
A) standard is continually reviewed to see if modification is necessary.
B) standard is not reviewed unless the SEC makes a complaint.
C) task of reviewing the standard to see if modification is necessary is given to the AICPA.
D) principle of consistency requires that no revisions ever be made to the standard.

Question

Quizplus · Accepted Answer

Once an accounting standard is established, it is subject to periodic review by the FASB to determine whether any modifications are necessary. This ensures that the standard remains relevant and effective in addressing accounting issues. The SEC may initiate a review of an accounting standard, but it is ultimately up to the FASB to decide whether changes need to be made. The AICPA is not responsible for reviewing accounting standards established by the FASB. The principle of consistency does not require that no revisions ever be made to a standard, as long as any changes are applied consistently and disclosed appropriately.

Once the FASB Has Established an Accounting Standard,the