Impact of FASB Qualitative Characteristics on the Promulgation of Statements of Financial Accounting Standards
نویسندگان
چکیده
Generally Accepted Accounting Principles (GAAP) provide the basis for measuring, valuing, and presenting financial information to investors and creditors. The Financial Accounting Standards Board (FASB) promulgates GAAP through its Statements of Financial Accounting Standards (SFAS). To guide its thinking in the promulgation of SFAS, the FASB employs as conceptual framework, called Qualitative Characteristics of Accounting Information. This research effort uses content analysis to analyze the decision specific qualities of relevance and reliability captured from 120 SFAS issued by the FASB. The results provide us with an understanding of the relative importance of relevance and reliability in the promulgation of SFAS.
منابع مشابه
Accounting’s Foundation:
The Financial Accounting Standards Board (FASB) regulates financial accounting. FASB issues two kinds of accounting pronouncements. The first kind are Statements of Financial Accounting Concepts (SFACs). They are the theoretical foundation for the regulations which are promulgated in the Statements of Financial Accounting Standards (SFASs). FASB‟s theoretical statements are based on unstated ph...
متن کاملEstablishing Inflation Accounting Standards in the United States : a Developmental Process
This article describes the procedures by which accounting standards are established in the United States. It illustrates the application of those procedures in practice, by describing how they are being applied to develop standards for accounting for inflation. The United States has a unique institutional structure for the promulgation of accounting standards a private sector Financial Accounti...
متن کاملProposed reporting model update creates dialogue between FASB and not-for-profits.
Seeing a need to refresh the current guidelines, the Financial Accounting Standards Board (FASB) proposed an update to the financial accounting and reporting model for not-for-profit entities. In a response to solicited feedback, the board is now revisiting its proposed update and has set forth a plan to finalize its new guidelines. The FASB continues to solicit and respond to feedback as the p...
متن کاملImpairment: IASB – FASB Comparison
This paper focuses on the accounting concept of impairment of long lived assets and goodwill. The objective is to identify the differences between the Financial Accounting Standards Board’s (FASB) and the International Accounting Standards Board’s (IASB) standards on impairment and to recommend a converged standard that will be acceptable to both bodies. Information for the research was obtaine...
متن کاملNew rules may make buying lab space better than leasing.
Medical laboratories that lease space for their operations will soon be affected by new guidelines from the Financial Accounting Standards Board (FASB) for lease accounting. The proposed changes are momentous. They will almost certainly increase occupancy costs with additional accounting and reporting burdens. The new FASB guidelines may also make leasing substantially less attractive than buyi...
متن کامل