ACC 541 Accounting Standards Board Paper

ACC 541 Accounting Standards Board Paper - Running Header:...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Running Header: ACCOUNTING STANDARDS BOARD 1 The Merge of the Accounting Standards Boards Donna L. Bartlett January 17, 2011 University of Phoenix ACC/541 Accounting Theory and Research Professor Michael Meyer Abstract
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
ACCOUNTING STANDARDS BOARD 2 Financial Accounting Standards Board (FASB) is the accounting standards board of the United States whereas IASB is the International Accounting Standards Board. Numerous differences exist between the standards and accounting principles of the two boards. The major purpose of the FASB is to develop Generally Accepted Accounting Practices (GAAP). Developing the international financial reporting standards is the purpose of the IASB. Working together the two boards hope to develop global accounting standards. In his paper the subject to describe is the IASB and the FASB relationship including a brief history of both boards and the IASB equivalents of the FASB original pronouncements. The student enrolled in a MSA program is prepared for a professional life within the accounting profession. The IASB and the FASB relationship IASB and FASB working together hope to achieve convergence in global accounting standards and financial reporting by the year 2012. FASB pursues a rule-based approach to their style, process, and structure. This approach differs from IASB's principle-based approach. Emphasis on cash flow statements, balance sheets, statement of changes in equity, and income statements as successful tools in
Background image of page 2
ACCOUNTING STANDARDS BOARD 3 decision making is put in place by both boards. Addressing notes to the financial statements as well as the qualitative characteristics and underlying assumptions of the financial statements (Shortridge & Myring, 2004). Numerous differences exist between the standards and accounting principles of the two boards. The major purpose of the FASB is to develop Generally Accepted Accounting Practices (GAAP). Developing the international financial reporting standards is the purpose of the IASB. Working together the two boards hope to develop global accounting standards. IASB and FASB have agreed to work together to achieve convergence in global accounting standards and financial reporting. The FASB, which pursues a rule-based approach, differs from the IASB's principle-based approach in terms of processes,
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 05/16/2011 for the course ACC 541 taught by Professor Chrismoody during the Spring '11 term at University of Phoenix.

Page1 / 7

ACC 541 Accounting Standards Board Paper - Running Header:...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online