1-2. Identify and describe the five environmental differences between governments and for-profit business enterprises as identified in the Governmental Accounting Standards Board's Why Governmental Accounting and Financial Reporting Is—and Should Be—Different. The five environmental differences include mission/purpose, source of revenue, potential longevity, relationship with stakeholders, and role of budget. The mission/purpose is defined by the goals of the organization. The purpose of a
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responsible for the collection of taxes. The FAF (Financial Accounting Foundation) is responsible for the administration and finances of the financial accounting standards board, the financial accounting standards advisory council, the governmental accounting standards advisory council, and the governmental accounting standards board. The FASB (Financial Accounting Standard Board) is responsible for the standards of the non-governmental financial accounting and reporting. The SEC (The Securities and
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required to prepare their financial statement as set out by the Financial Accounting Standards Board (FASB), which their standards are generally principle-based. In the following paragraph, this paper attempts to evaluate the significances of principle-based stands first and some discussion of whether the Interpretation Committee is necessary in world with global principle-based standards. The Interpretation Committee would review on a timely basis widespread accounting issues that have arisen within
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In 1976 Senator Lee Metcalf (D-Mont.) released a report on the public accounting industry which rocked the profession. Despite a decade of revisions in rules and regulations (variously established by the Securities and Exchange Commission, Accounting Principles Board, and Financial Accounting Standards Board), public accounting firms were still perceived by many on Capitol Hill as biased in favor of their clients, incapable of or unwilling to police themselves, and at times participants in cover-ups
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US companies face convergence between US GAAP and IFRS that affecting several major accounting standards. On the other hand, IFRS conversion warrants consideration which already impacting business decisions, and not simply through non-US subsidiaries. IFRS has already influence US GAAP, under the Memorandum of Understanding (MoU), the Financial Accounting Standard Board (FASB) and the International Accounting Standard Board (IASB) are working jointly to develop standards that will converge and
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realize the importance of the establishment of a single set of high quality accounting standards. With a common accounting language around the world, investors will be able to have greater comparability and greater confidence in the transparency of financial reporting worldwide. IFRS, acronym for International Financial Reporting Standards are financial reporting standards that have been adopted by International Accounting Standard Board (IASB). Increasing number of publicly held companies in many
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Accounting Standards Boards Cherish Malbrue Accounting 541 July 2, 2012 Bethany Kessel Accounting Standards Boards The Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) began their joint commitment in 2002 to improve both generally accepted accounting principles (GAAP) and International Financial Accounting Standards (IFAS). The mission of these two boards is to try to make both methods of
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rule to which each circumstances relates b) Indicate one other circumstance that pertains to each rule identified in (a) above. 1. Members shall not express an opinion that the financial statements are presented in conformity with GAAP unless the pronouncements of the FASB have been followed. a) Rule 203 – Accounting Principles (125, 126) b) 2. A member shall not discriminate in employment of assistants. 3. A member shall not include self-laudatory statements that are not based on verifiable
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used in accounting, to include Generally Accepted Accounting Principles (GAAP), double entry accounting, historical cost, accrual basis vs. cash basis accounting and current assets and liabilities vs. non-current items. I will also describe the general organization of the following three companies; Apple, Inc., Swatch Group, and Nikon. In doing so, I will attempt to determine and demonstrate what is more useful – net income or cash from operating activities. Part I The field of accounting can be
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Basic Accounting Concepts and Business Structures Danny Silvio ACC/537 10/10/11 Professor Basic Accounting Concepts and Business Structures Generally Accepted Accounting Principles The sources of accounting principles and the framework for selecting the principles to be used in the preparation of financial statements are prepared by the Financial Accounting Standards Board (FASB). The standard categorizes the major sources of GAAP as being FASB Standards, Interpretations
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