What is financial accounting standards board?

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What is the Financial Accounting Standards Board (FASB) role? In other words, do you know what exactly they do and how they contribute to the accounting standards and the quality of financial reporting?

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score 0 · Answer 1 · 2012-12-02T19:41:32+00:00

The financial accounting standard board or FASB is a non profit organization that is responsible for issuing new and updating the existing Generally Accepted Accounting Principles. GAAP is an accounting framework or a set of standards that is widely used (IFRS is another one). FASB monitors the existing standards and examines whether an update is needed. It also assess whether new accounting standards should be developed to cover new key accounting areas or treatments.