Q5RQ.
Question
What is the role of the Financial Accounting Standards Board (FASB)?
Step-by-Step Solution
Verified Answer
The primary role of FASB is to monitor the creation and governance of accounting standards.
1Step 1: Explanation of FASB
Financial Accounting Standards Board (FASB) is a U.S. organization funded privately. They are responsible for formatting accounting standards that companies should follow.
2Step 2: Working of FASB
FASB works with the Securities and Exchange Commission (SEC), Public Company Accounting Oversight Board (PCAOB), Insitute of Management Accountants (IMA) and so on.
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