BE7-1 Indicate whether each of the following statements is true or false. Identify generally accepted

(a) _“Generally accepted” means that these principles must have “substantial authoritative accounting principles.

support.” (SO 1)

(b) __ Substantial authoritative support for GAAP usually comes from two standard-setting bodies: the FASB and the IRS.

(c) _GAAP is a set of rules and practices established by the accounting profession to serve as a general guide for financial reporting purposes.