Financial Accounting Standards Board (FASB).

The Financial Accounting Standards Board (FASB) is a private, not-for-profit organization that establishes financial accounting and reporting standards for public and private companies and not-for-profit organizations in the United States. The FASB is recognized by the Securities and Exchange Commission (SEC) as the designated accounting standard setter for public companies. The FASB develops and issues financial accounting standards through a transparent and inclusive process intended to promote financial reporting that provides useful information to investors and others who use financial reports.

What is the purpose of FASB Codification?

The Financial Accounting Standards Board (FASB) Codification is the single source of authoritative nongovernmental U.S. generally accepted accounting principles (GAAP). The Codification organizes all authoritative GAAP except for SEC rules and regulations into approximately 90 topics. The Codification is effective for interim and annual periods ending after September 15, 2009.

The Codification does not supersede SEC rules and regulations; instead, the SEC’s rules and regulations take precedence over the Codification in the event of a conflict. The Codification is not authoritative for financial statements prepared in accordance with international financial reporting standards (IFRS).

The Codification is a research tool that brings clarity to the U.S. GAAP by improving the organization of authoritative GAAP. The Codification is not a substitute for professional judgment. Users of the Codification should exercise professional judgment in applying GAAP. What are the three parts of the GAAP financial accounting framework? The three parts of the GAAP financial accounting framework are the Statement of Financial Accounting Concepts (SFAC), the Statement of Financial Accounting Standards (SFAS), and the Financial Accounting Standards Board's (FASB) Accounting Standards Codification (ASC).

The SFAC provides guidance on the objectives, basic assumptions, and fundamental principles of financial accounting and reporting. The SFAS sets forth specific accounting and reporting standards. The ASC is a comprehensive codification of all GAAP-related pronouncements issued by the FASB.

What is FASB technical agenda?

The FASB's technical agenda includes a variety of projects that focus on improving financial reporting. Some of the key projects on the agenda include:

1. Enhancing the usefulness of disclosures in the notes to the financial statements
2. Improving the accounting for income taxes
3. Clarifying the definition of a business
4. Simplifying the accounting for goodwill
5. Improving the accounting for share-based payments
6. Enhancing the accounting for lease transactions
7. Improving the accounting for financial instruments

The FASB continues to work on a number of other projects as well, with the goal of making financial reporting more useful for investors and other users of financial statements. How many topics are there in Accounting Standards Codification? The Accounting Standards Codification (ASC) is the single source of authoritative, nongovernmental U.S. generally accepted accounting principles (GAAP). The ASC is organized by topic, with each topic covering a specific area of accounting.

There are a total of 10 topics in the ASC:

1. Concepts and Principles
2. Presentation
3. Assets
4. Liabilities
5. Equity
6. Revenue
7. Expenses
8. Comprehensive Income
9. Income Taxes
10. Accounting Changes and Error Corrections

What are the 4 principles of GAAP?

The four principles of GAAP are:

1. Relevance: Information must be relevant to the decision-making needs of users.

2. Reliability: Information must be reasonably free from error and bias.

3. Comparability: Information must be capable of being compared with other information.

4. Timeliness: Information must be available in a timely manner.