Essay PreviewMore ↓
The success of a company is very dependent upon its financial accounting. In accounting there are numerous Regulatory bodies that govern the accounting world. These companies are extremely important to a company because they set the standards when it comes to the language and decision making of a company. These regulatory bodies can be structured as agencies, associations, commissions, and boards. Without companies like the Security and Exchange Commission (SEC), The Financial Accounting Standards Board (FASB), the Governmental Accounting Standards Board (GASB), Internal Accounting Standards Board (IASB), Internal Revenue Service (IRS), and other regulatory bodies a company could not make well informed decisions. In this paper the author will look at only four of them.
Security and Exchange Commission (SEC)
The first one of the organizations that is responsible for assisting and overseeing companies is the Security and Exchange Commission (SEC). “The mission of the U.S. Securities and Exchange Commission is to protect investors, maintain fair, orderly, and efficient markets, and facilitate capital formation” (SEC 2008, ¶ 1). Basically it is the SEC’s job to interpret the laws that congress passes and assist companies in implementing these laws. While Congress makes modifications to laws it is this companies job to also make all companies aware of these changes and help them to make a smooth transition into using the newly amended law.
The Financial Accounting Standards Boards (FASB)
The second organization was designed by the SEC in 1973. The FASB was designed with the purpose of creating financial accounting and reporting standards for the public. “The mission of the FASB is to establish and improve standards of financial accounting and reporting for the guidance and education of the public, including issuers, auditors, and users of financial information” (FASB n.d. ¶ 3). The FASB is designed much like the FASB in which they are to protect the public from fraud and misleading information from the company.
Internal Accounting Standards Board (IASB)
The third organization that helps to regulate the accounting standards is the IASB. “Our mission is to develop, in the public interest, a single set of high quality, understandable and international financial reporting standards (IFRSs) for general purpose financial statements”(IASB 2008,¶ 1). The IASB consists of a board that is made up from nine different countries with the sole purpose of expanding accounting standards. Their main hope and goal is to one day that there will be only one set of accounting standards that will be used throughout the world.
How to Cite this Page
"Accounting Regulatory Bodies Paper." 123HelpMe.com. 17 Aug 2018
Need Writing Help?
Get feedback on grammar, clarity, concision and logic instantly.Check your paper »
- ABSTRACT This paper provides an in-depth evaluation of Sarbanes-Oxley Act, which is said to be promoted to produce change in the corporate environment, in general, by stressing issues of public accountability and disclosure in the financial operations of business. It explains how this is an Act that represents the government's and the Security and Exchange Commission's concern in promoting ethical standards in terms of financial disclosure in the corporate environment. This paper addresses the current criticism of the exportation of U.S.... [tags: Business Regulation Accounting]
1866 words (5.3 pages)
- The paper will look to contrast and compare two housing regulatory reports by highlighting good practice with regard to service delivery. The chosen reports were Housing Association Regulatory Assessment Merthyr Valleys Homes and Housing Association Regulatory Assessment Mid Wales Housing Association Ltd, both published in 2013. It seems that both Associations have a large number of houses that tend to the needs of various groups of people of all ages such as single, elderly, impaired, families and their main objectives are to provide affordable rented homes and to support tenants throughout their stay, being it temporarily or permanently.... [tags: housing regulatory, housing partnerships]
912 words (2.6 pages)
- Financial and Managerial accounting are used for making sound financial decisions about an organization. They provide information of past quantitative financial activities and are useful in making future economic decisions. (Albrecht, Stice, Stice, & Skousen, 2002) The same financial data is used to derive reports for each accounting process yet they differ in some ways. Financial accounting primarily provides external reports for external users such as stock holders, creditors, regulating authority and others.... [tags: Accounting, ]
1091 words (3.1 pages)
- Question one: outline the structure of the International Accounting Standards Committee Foundation (IASC Foundation). The purpose of this essay is to describe the structure of the IASC Foundation. The International Accounting Standards Board (IASB) is organised under an independent organisation called the IASC Foundation. IASC Foundation is a not-for-profit organisation who acts in the public’s interest. Components of the restructured IASB include the Monitoring Board, IASC Foundation, IASB, International Financial Reporting Interpretation Committee (IFRIC), Standards Advisory Council (SAC) and working groups.... [tags: Accounting]
2146 words (6.1 pages)
- Companies in each country have to adapt and regulate their financial statements to certain requirements. They base and format their accounting standards on their national General Accepted Accounting Principles (GAAP) set by security regulators. However, in this modern globalized era, owing to too many financial differences between nations, it is increasingly difficult for entities to compare their financial records and identify trends in their financial position and performance with their competitors.... [tags: Accounting International Business]
1439 words (4.1 pages)
- Introduction Financial statements What carries out the accounting and financial forecasting of any type of company is financial statement. As for financial statement, it is a financial report or record compiled usually on a quarterly and annual basis which quantitatively provides the indication of an individual’s, an organization’s, or business’s financial status. There are, according to belief of most experts, generally three financial statements such as: an income statement (Pro Forma Profit and Loss), a balance sheet and a cash flow statement.... [tags: Accounting]
1627 words (4.6 pages)
- Commercial Bank Accounting Executive Summary Financial institutions vary in many ways from the traditional, non-financial organization. For many people, the inner-workings of financial institutions are complicated and difficult to understand. For accountants, the traditional rules and procedures used in non-financial institutions must be modified and extended when a financial institution is involved. Our focus in this paper is on one specific financial institution, the commercial bank. In this introductory manual, we will discuss the many reasons for the differences in bank accounting in attempt to give you, the accountant, a better understanding of accounting issues in this unique industr... [tags: Accounting Research Papers]
5105 words (14.6 pages)
- Management in business and human organization activity, in simple terms means the act of getting people together to accomplish desired goals. Management comprises planning, organizing, ->resourcing, leading or directing, and controlling an organization (a group of one or more people or entities) or effort for the purpose of accomplishing a goal. Resourcing encompasses the deployment and manipulation of human resources, financial resources, technological resources, and natural resources. Management can also refer to the person or people who perform the act(s) of management.... [tags: Business Accounting]
1921 words (5.5 pages)
- The Financial Accounting Standards Board is board of seven independent members who are accounting professionals that was developed in 1973. This seven member group is responsible for communicating the standards that are in place for financial accounting and reporting that takes place in the United States. Generally accepted accounting principles (GAAP) are the standards that are used by the FASB to govern the way in which corporations prepare their financial reports. This process of utilizing these standards to maintain and report accounting files is the only method that the US Securities and Exchange Commission will accept.... [tags: Business Accounting Finance]
1116 words (3.2 pages)
- Accounting There are many different types of accounting. I haven’t made the choice of which particular part of the profession I am going to go into. I am going to focus on financial accountant. The decision to become an accountant is usually not made until college. However general accounting and bookkeeping classes can be taken in high school. In college, the student needs to decide on a more specific field of accounting. An accountant has many choices regarding what particular field of accounting to specialize in, depending on the financial information he or she wants to analyze and how it is done.... [tags: essays paper]
777 words (2.2 pages)
The Governmental Accounting Standards Board (GASB)
The fourth organization that assists as a regulatory accounting body is the GASB. “The mission of the Governmental Accounting Standards Board is to establish and improve standards of state and local governmental accounting and financial reporting that will result in useful information for users of financial reports and guide and educate the public, including issuers, auditors, and users of those financial reports” (GASB 2008, ¶1). This is basically a subdivision of the SEC that is designed for governmental accounting reporting between private companies and the state and local governments.
While the Security and Exchange Commission (SEC), the Governmental Accounting Standards Board (GASB), Internal Accounting Standards Board (IASB), the Financial Accounting Standards Boards (FASB) are among the top organizations that are in charge or regulating the accounting industry. Some of these companies have additional organizations or subdivisions underneath them that has the sole purpose of regulating the accounting standards and reporting. Each regulatory body plays an important key role in the financial reporting and helps to implement the rules of honesty. By doing this it prevents companies from doing dishonest financial acts that could in some ways be very harmful and detrimental to the company and business industry.
Financial Accounting Standards Board – FASB (Date unknown). The Mission of the Financial Accounting Standards Board. Retrieved October 6, 2008 from URL: http://www.fasb.org/facts/index.shtml#mission
The Governmental Accounting Standards Board – GASB (2008). Welcome Page. Retrieved October 6, 2008, fromURL: http://www.gasb.org/
Internal Accounting Standards Board – IASB (2008)About Us. Retrieved October 6, 2008, from URL: http://www.iasb.org/About+Us/International+Accounting+Standards+Board+-+About+Us.htm
Security and Exchange Commission – SEC (05/05/2008) The Investor's Advocate: How the SEC Protects Investors, Maintains Market Integrity, and Facilitates Capital Formation. Retrieved October 6, 2008 from URL: http://www.sec.gov/about/whatwedo.shtml