Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Financial accounting standards in the U.S. are set by the Financial Accounting Standards Board (FASB), an independent body. When the Securities and Exchange Commission (SEC)

Financial accounting standards in the U.S. are set by the Financial Accounting Standards Board (FASB), an independent body. When the Securities and Exchange Commission (SEC) was formed in the 1930s, Congress had given it the responsibility for setting standards for U.S. public companies but the SEC chose not to do this and left it to the external bodies like the AICPA and the FASB to set these standards. Discuss two advantages of SEC setting financial reporting standards in the U.S. and two disadvantages of this approach.


Step by Step Solution

3.36 Rating (149 Votes )

There are 3 Steps involved in it

Step: 1

Advantages of SEC setting Financial standards in US are More Regualted environment can be brought ... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Accounting

Authors: Frederick D. Choi, Gary K. Meek

7th Edition

978-0136111474, 0136111475

More Books

Students also viewed these Accounting questions