Accountign Regulatory Bodies

There are several different accounting boards that commit up rules and standards for pecuniary reporting. These boards are used as guidelines for businesses and accountants to take in undisputable that financial transactions are reported justly both(prenominal) intern tot altogetheryy within the company and externally for public knowledge. sense datum of these boards is the Financial story Standards Board (FASB). This board was realized in 1973 by the Securities and Exchange Commission (SEC). The purpose of this board is to offer a uniform striation of standards for the financial community to retrace in regards to accounting and reporting of financial information. This helps protect institutions from dissembler (Regulatory, 2009). The Governmental be Standards Board (GASB). The purpose of this board is to offer standards of useful information to assist users of financial reports to gain a better understanding of the reports (Regulatory, 2009). The Securities and Exchange Commission enforces the laws that are found by congress in regards to financial reporting. They make present-day(prenominal) that all publicly traded entities adopt with the Generally Accepted Accounting Principles (GAAP). This is the largest governing body in the financial community (Regulatory, 2009).

The internal Accounting Standards Board develops understandable financial accounting standards for financial statements. This board has members from 9 different countries and it attempts to establish one even up of accounting standards that is accepted globally (Regulatory, 2 009). The SEC is the largest of all of thes! e boards and has the determination power. The smaller boards have different areas that they regulate. Businesses must accord with the rules and regulations of all of the boards that are relevant to their particular business. If a business does comply with the rules, then the financial reporting will be an unspoilt representation of the health and profitability of the organization. If an organization is honest in its reporting...If you want to get a full essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper