The Financial Accounting Standards Board is responsible for
A) auditing financial statements.
B) developing generally accepted accounting principles.
C) establishing accounting systems for businesses.
D) making recommendations to the Securities and Exchange Commission.

Question

Quizplus · Accepted Answer

The Financial Accounting Standards Board (FASB) is responsible for developing generally accepted accounting principles (GAAP) that are used in the preparation of financial statements. The auditing of financial statements is typically carried out by external auditors, while the establishment of accounting systems for businesses is the responsibility of individual companies. While the FASB may make recommendations to the Securities and Exchange Commission, it is not solely responsible for doing so.

The Financial Accounting Standards Board Is Responsible for