FINANCIAL ACCOUNTING THEORY AND ANALYSIS TEXT AND CASES Tenth Edition Richard G, Schroeder of Nott Cartea at Charlotte Mle W. Clark Uni tic wiley JOEN WILEY & SONS, ANC,an se dot ela pe ferent i Mo ipa 0 301, 20% 205 202 3eha Wey Smile, So a Sits poblenton my be eet ord enol yen meres tet a wea dail peeping ede nai ee ‘cw xn etude sass ar tel 76 ed tes Cpe ‘et wthoteertcterer perma te ae: eau hn tie a ee pnp Cicer re ‘ny erae cme sue hoe soem Fee opis ee he mrt crane tty meat ee ‘log ene mae worry comigoetrlabel Deo he tee Stu pls ona ouch epson cy Cnr tin ion ae eee eee eee eee eee eee eee eee eee eee eee eee ee eee eee eee Ee | | 4 | Preface ‘Accouning eduction has experienced many dramaue changes oves the ie of this aceonting theory teat The publi of the tenth ain represents over they eas ins evan At ks tepion rach of hat tas then coder theory warn fealty Tle memorznon. in rece Year the gbalzton of the eeovouy has lnpoded the sls necessary Ue a somes accountant apd eased accountng edsator: Yo develop few methods of coauunkatng ascoanting eduction. Enphass i bone ‘eto vento the tnsperaton of ether nto he crear the anaes ‘tavcompanys guatyof comings and sustainable income, the we of the ‘Wari Wide Web as «souks of ilormation. on irene enphas on the Ineracinal dimensions af accounting. the development rial hing sli the development of communion sb andthe seo grou peje to develop cooperate sts “hs edton ot the test es Sorther extension ofthe relocing ofthe ‘mate to suit the neve of acosntingpesenas no the twenty st ‘ry Among the changes suas edton hat were designed sacs {his bene ae -bspandad ute of he Wed by including ass ant updates on the exo ‘marion ste a hegYarnwendsanmlge cde ‘Added rato onthe FASB ASC In the selatons man ‘eda text bank ote slutons manual conning over 280 mie ‘Seceand over 200 essy questont updated te didosore examples hroughowt the chapter and update the Saciel ancl seaions ofeach apes uss Hee ad Tote Ral the exampe companies ‘Added 5-10 FASH ASC case nea chape, Added new “Rou fr Beate cas several apters Update he aseusson cf the sources of GAAP to fconporte the FASB Acta cheper [Add « dscsion ofthe FASH's Accounting Stndatds Codon kn Ehapier ‘pated she iszsion ofthe FASH-IASH “NovichAgreement” an thelr Jott concepts Famenort and financial statement presentation pejeis tn chapee 2 ‘+ Updated the aicusion of the TASE-FASB “Rosmgp to Convergence” ject thats atemgtingoaeve ata commen set of igh qvlty gh [cco sandars snd the renal of Ue need fr the recone afe Pe requirement for san, comple tat we FHSS and ae vege the Ue Sas Chaps. “+ opsed the escssion of the pact of international versus U.S. GAAP ‘fcnstng sadn Chapter 3 te tnarporate Suc desion t pa nly eluate the Fon 20-F recneston requirement Tor fe 1 Added senso of he IFRS onthe we of GAAP For al ant medi So ete a hope 3 + Aled 9 dscsion of the PASBHASH discusion paper on revenke Feogaon in Chapter Uae the escaron of the propre new foot forthe Sateen of ‘mprehensve iceme tn Chapter 1 Aeds dvcrsion FASB-LASB fan sttement presentation oj 0 chapter, 4 Added summary of FSP PAS 197-2 u0 the dScusson of far value ‘medsuremente in Chapter 7 + Addis dacusion of the proposed foat of the statement of oan ‘esto in Chapter 7. + “Adot a dion of the proposed formato the sttement of ash Hows Inchapter? 1+ Adi a dlscusion ofthe reimued IAS No. 32, “Financ Instussents: Recognition and Measurement” Chapter 10 Aldea dipcsson of RS No, 7. “Finan! Instrumente: Dsosures Caper 1 + Added a discon of IASB exponice dst om Income sases in Chae 12 1+ Added dscsion the PASB-IASD jin poject on acoumting fe Tenes ienaper 3 1+ Added discussion of the proposed amendment 245 No.1, “Reemen Benet Contin Chapter 14 1+ eda ahcoson ofthe “sequins mata in Chapter 16 1+ Aided 9 dicasion of aeesenting for “noncontoling interests” in Chapter 1 Ades sus of the reve IFRS Ne 5. “Bsns Counbinatons. “in Chapter te + Added a dco of 853 “Operating Segments in Chapter 16. 1 Added a dscvsion of the SECs intexpetive guidlines repseding the aisdowine of tems da the MIDBA sean of the 10K Fepore It Chapter 17 + Aled @ diction of the “ina Report ofthe Adsisory Commitee on Finovernents 0 Roan Rep othe Unite Soc in Chapter 17 ‘The pba of ale fext would not Be posible without the asi tance of many talvdhsle We ae extremely ndebeed Yo tur colleagues ‘Gunav Kaman enjoin. and Stephen Zell whose commensal etiam Patan contuted tothe 10th exes. Adtionally we thank ofeach asa, Melojde Gonten tor hee hep. "We extend out thanks fo the edo sal at John Wey & Sons Incoing cael Mena, Actions denen Kamins, Projet Eto ahd Jeuelne Keping BdkorslAesitant Our thasks a goss tothe poo Aucion staffon the fk Fale Chew ASsant Production EStor af ot ‘Wiley Sons, well teu copyedn, Ch Thien, Sa ee aContents mretace i ‘THE DEVELOPMENT OF ACCOUNTING THEORY 1 The Hany Mistry of Accounting, 2 Accounting inthe United States sine 1930. § “The Role of Eien Accounting 2 Iterations Accounting Sondarde 28 Caz 27 RUSBASC Rar 29 Romper Dae 0 ‘THE PURSUIT OF THE CONCEPTUAL FRAMEWORK © 31 ‘he Early Theos 38 Early Authoraive and Sen-Auhortatve Onganizatonal “tempts o Develop the Coneeptal Patbeork ot ‘cconnting 3 ‘The TASB’ Conceptual Bamework Prjeel_ 45 Princes ase versus Rules-Based Accounting Standadk 38 Tnverational Convergence 63 INTERNATIONAL ACCOUNTING % Inxematona Busines Accounting isues_79 ‘The Development of Accounting Systems. 79 Preperation of nancial Statement for Furlgn Users 81 ‘he international Acauntig Sundards Commer 2 Revising the IASB Constition 88 The Uses of ernadonal Accounting Standards 90 caren suet 91 ‘he IASR Annu improvements Proje 92 ‘The Use of TASC Stands 98 ‘The IASH-FASM Convergence Prec! 93 ‘The Impoc of eternal vers US, GAAP Accounting ‘Stindade 92Framemork for he Preparation and Presentation of Financ comparison ofthe (ASBs ond FASB Cooeptal ‘rumors 103 AS No. Land JERS No.1 107 4 RESEARCH METHODOLOGY AND THEORIES ON ‘THE USES OF ACCOUNTING INFORMATION, 1m ‘The Owicomes af Proving Accounting nfrmation 115 Te Relationship Among Research, Beton, and Pace 129 5 INCOME CONCEPTS 138 The Notre of Income 136 Enmanes Quah Earnings Manogement, and Fraudulent naa Reporting “134 6 FINANCIAL STATEMENTS I: THE INCOME STATEMENT 166 The Economic Consequences of Financ Reparing 365 Stavement Format 168 Proposed Format ofthe Staterient of Comprehensive The Vale of Corporate Famings 195 Internationa Accounting Standards 199 7. FINANCIAL STATEMENTS I: THE BALANCE SHEET ‘AND THE STATEMENT OF CASH FLOWS an 0 " Proposed Forma ofthe Statement of Finan Evaluating Companys Franca! Postion 231 ‘The Satan of Cash Flows 233 Pnandal Aualpsi of Cashflow: International Assuming Starts 257 ISH ASC Resch 299 Rom fr De WORKING CAPITAL 255 Development of the Working Capital Concept 255 CconeotUsape 257 Components of Working Capital 258 ‘ancl Analyss ofa Companys Woekng Capital Intemational Ascutng Stands 276 Guz 277" FASBASC Remark 28) Roo fr Debte 282 LONG-TERM ASSETS |: PROPERTY, PLANT, AND EQUIPMENT 288 Property lant, and Faupmnent 284 nancial Anas of Property Plant and Puipmient 288 ‘tentational Accounting Standards 300 WS -PASBASC Rech 310 Rom foe 311 LONG-TERM ASSETS Wt INVESTMENTS AND INTANGIBLES a3 inal Analyse of investments ad tntangies 237 Insertional Accomting Stands 337 LONG-TERM LIABILITIES 350 ‘The Detnion of sbilier 351 Recognion ard Measserett of isbiltes 382 SaSveratonal Accounting Standards 381 Cher MS FASBASC Ranh 80 Raomfor Dube 22 412, ACCOUNTING FOR INCOME TAXES Hisorial Perspective 395, “The lucene Tx Alcan tee 395 Fosncil Anslsisofncome Taxes 417 Ieternions! Accounting Standards 420 cast 42) FASBASC Reva 26 Romfor Deer 13 LEASES caer 8 FASBASC Ruan 93 RoomforDee 434 14 PENSIONS AND OTHER POSTRETIREMENT BENEFITS, storcal Fespecnve 458 Accounting forthe Fenion Fund 448 The Employee Rewemen! Income Secu Ret «70 SPAS Ne 158 473 nancial Anais of Fenalon and Osher Pstsetrement Benetie 473 Intemational Accounting Standards 475 aur 477 FASBASC Rework £9) RomforDe 461 15 EQUITY Theos of Equity 8S Definition of Eauny 88 383 486 ” Pisani Anais Of Stockholders Bauy 505 Imterstonal Accounting Standards 306 (Gur 508 FASBASC Rowan 519 RoorDubte $14 [ACCOUNTING FOR MULTIPLE ENTITIES 515 Accounting for Business Comminaions 516 ‘teoies of Constidation 525 Noneomoling Interest 526 Deastack of Consoidstion 529 Specal-Purpse Bes 530 Foren Cortency Bansation 536 Iernvonal Accounting Standards 544 au 48 FASBASC Recah 381 Raomfor Debate 382 FINANCIAL REPORTING DISCLOSURE REQUIREMENTS AND ETHICALRESPONSIBILITIES 554 Recognion ad Measurement Crea. 558 rest Deilyadesed by Exng FASS Standande— Supplementary Information 558 (ther Means of Financial Reporting 562 Other Use nformation for Inveximent Cet, and Siar secaries and Exchange Commision 567 eal Responses 57% Imernsvonal Accousnig tandarés 583 Cash FASBASCRavarh “S82 Raomfor Dobe 00The Development of Accounting Theory Sstemasetyorenied nome appabie 4 relawely ie ‘ety of ccnance a yan of eruptions, aoe! pies nulsol pean analy preset ore expan te natu seer stented net ek ass at ho bees site era expan bat Hey ere shoul Be Tmnsoc dnt, scene 3 welldeelope ana ogee fcr enienpates Youn What sald be and wat he al of secon ery to provide ae opto an elation ships ht expla sbserved proces an pels upcbsrved precisa Ing methos overran shoul ene ert pred the tates of ns ‘hat let yorrasaccnntng methods. And ain eer escpines Sung 2 tough acon sete,2 uo re Doge Aig Ter niche haere ya -eplted marl hat opeie trough the ret ‘supp and dewund, Caos and series are aval for purchase ahs, Dud Indole elect ener ore the mat o pursue to economic al al sacs te conemines by years resent i these ‘tal ntl er poup econ goat I cu sce he vole of se ‘eo rupot hor erga ese esate a to repo te sata of “ils Caper # tere ae vaio "ones of spain” xa sie fndamental aps edel heeeer mes hyp He cx ‘Set plimae e hua formas ees elven tng eer sod the ae perpecne mel Tose oon competing Use Stes acon hy as tory deve ne he te dese ‘eters defnton. Asunngesestshenscded 9 atin amore general ery taco sta nth regard sos oats of cong that ave be ood mut be sbjened to verfctin,A ceal queaion concer Che se es of csmting dts 0 or Tha dns te ea tery help end tctioo mars ake more covet eens? Yau sugesns on the pal tern fsa eee hve Hen lee As Bees at et a et “fines or dan we al ve oe toa general theory of aco "he gel of isto so provide a ser pespecve oy acount hey To staged met ese the development cf acoung theory to Mnstate Ds" Ines needs have een peeved one ine. Neste ee he crea a “st ccountng tory wih ap empire om he inteser and potential ese ‘ie acting an oe Gensel lena, Hal, we oa een sted ‘he development of scouting mandate and ins wee sabeeenly designed tovslegundshatholers gatos sogroper scons by compre fers ‘kas ate regu be pal rn pros sis semen ere ed oe ep and auded by perenne oh tan the resort, Te Ingo oan sm the suceson othe Companies Actin England ao incensed the aed or pofssna stannds nd accounts ben ater pat ofthe ninetecath cent the dural revo av tn the United Stes fining he need Tor more formal actang proses ‘standards, Ralads becne major acooons lune Tse companies ‘hete the eed fr mapping ade wh ae ed ress te 6 te Cae Ra tbe sig Pfr Rem Yr: AICPA 14) 54 gee «meena ung m9 nates for coponte sects aod sy erased nee for trated seountan's ete separ the Bengerest ad ewnershpFonctons became Tne Tata anyone cul aio bean ssa, fo hee mene mong Shvappresishin stern, Ltr, private comma cole bean eg the taining prands for axountne These tntunions enced the Gua iy of wale but dscustons of the nue ol vue a secsuning edacaton id fn sorace wi moc ner At the eo the sete cer weer) ‘pecinon tn he eure marker: werd aks, alge apes tak fontaled sees of Ce Us. cemomy fsa inthe etalshest of the Pogtsve semen 1898 de Jodi! Cems way ores to es tigse qucston esting to ian, ar sri manasa Dsinss. AMbongh an account cher on te commission er exe Ube oman, spretrnry report uated tn 1000 get that sien eet patie eeouating pasion sold eerie sural lees cooote Shes ‘Ahhoughmt acumtans didnt nec ster othe dey of the progrenive reform he prraive move cole pce scl seneal evs of presen (1 agement ath democracy, concer FStmeralny and jst and abr acepmnee othe eRcency of ean Fes tol sol sdrton 2) sn Heed sarees the a a om of al egmer soya incon she Wes of he ube cot She of bunts set plea ees an an sneer ‘Menno reer apeaire piosopty a oe a "he major etc fasting daring the eaty 1900 wae the deep rent of 3 theory thet sul ee th omoese ate that were nen st That hae and eal wets emerged as «cneepe Ta concent evel tom msnacing Invested tl stato maaan the py Fecine ‘este the rn tors el cap Insecta ver fae Ihalnenanee was eensbn athe econamecep ol ete ae Chay 5), ‘hat thee could be nctese neh uk te sek oe ms mee eer of ate end the period ha le besa ‘Daring the peso 1900-015, he emer eo teat ast vwolldeveiped Thre war, hewever,& dete oer whi sal stent ‘Sho he viewed os ove agora, de balan het he ene ster Stern mabe cosierd fren andthe sr areas] and ‘evan tle con nore Sco so sete The 1904 iterratnsl Congres of Acoantants make the nal deve pment cee oanine scoring profeien fn the ned Stes hoe there Hed been eater ater aranive and arses had at ete, Artis cing the Ame Arson Pale actonteas afte ot 1 Gay rests arora Db Mena, Ay of ng Am Se ake Roma en) 196 har oles, Sa or ame The dpi: Ur oe eee eee eee nine i rene 188 ‘he profeonalngaiatn of acount othe Une Stats 196, ater cae ter Herta des, ths oup Was regan to Oe ‘Ameria inst of Sesto (ALA nie ea {#0De many umes began feng acon course, At thi tne no wand aecnuning cau etd a0 stew aleve (s prble a 916 the Ameen Assn of Whe Uuincty fn a ‘ecu {AALIA) sa alo formed Se cs development nthe tearoom aetna unl tater ht the AAUIAaeagecd0 Urecne noled in the deere of avon hey "Wena War ehanged the pubs ae ond ee bute eto, Many people bale that hese ciplcton of he rar cl at eat para Se nbored oie gent ol mena nee vs consiene, epic Perc ht hsins ad flowed ata external wlan wh ong Scary Tie and hn poe i pers ‘Cis of acting pace dung dhe 192 uses tht excnsnas shad the sews pase nic ephseonte bts fae ent. and peated top ates fen maa eponing. Deas tN tine Stancil satements were skcwed asthe presenta of management tnd accountant noe have aby Yo requ Dies toe sen. Prinspcs hey not nso employ Te rou fh ste ell Accountants mee not lly lane or hese evens the pest of gers ‘mera errant the epoeate et bom ‘Accounting in the United States since 1930 ‘Onsale is opto prove caning ipa bony arth nape the Grex Dees ih a ees eng ee eee oe New So Stok Exchange NYSE an the mean fst Acta The Pe eo these mews wa to dics poles pera ete el ee Soar in 1938 the Amerson Aevciaion of Univer lista 9 Acouming changed ws aie wo the American Acounng Aeon (AAA [Envannonnsad envio to enpond he Ses nthe each ad develo ‘eto scrunting apis ata The treo he expand Statement of Accounsing Principles Undeiying Corporate Finoncl Starements” ‘The ourand-onehatpage docoment suntataed Ge gc come "he coapenmive tla btecn the perc o he WYSE a the ATA were wellecied Hote the pst epson stnspeeth the Unted Sates ss ‘Sutacetnd by seplains, There mar even lain edo tat odd ave regu ans uo be Beene by he feral government aer psn 2 ‘sence examin. “aig are expoved i extemal the sme mater in ll academic ons, ond Se cg rt waa te hse iechar + re sigma ay ‘Peo of the sas npr pees flee pea thi me were the Swot At of 195 the Semis Hechange At of 1938, whi erased UreSecree and hangs Common sc) he SHC aerate ‘cous secs oc Under poets poled by Conges he SEC Was en be neon to prescre acoumdng pps abl repr races. Nevers ‘Renu tne 2c ha anedasannence ana llowed tp ctor deve {scustng pipe, isc hs seo bee se Howeve the SECs ‘eee reste ch tbe scouning osson and hs bee espa terested ‘Simul ae deta ayer 17} Tran 1956 01938 the SEC as engaged in an inroads over Whether tx cu deep sccnnting sanded Been thgh Wan Dawgs Ce Ye SEC chen ad sera Supreme Cur are] ape. 1938 he SEL Aken cog Ses Rl (ASR) to ali accouting DOD 1 beet nthe reste er, ASR No nated hat tors le wh he SE Imus he pepe in scans wih aerating paces tat havea "The pardon wt cenit tha tt ot hve the ne nese n deve 4 here mck of accountng. As sole he ALA aged to publ ‘ody y Sante, Hate, ad Mote ad # Stee of Asan Prise he ubeaton oer work wan qe contents in thot k essa Tey ‘texts ais tae Wes ee ling pacing aroun“ what yu Thnk is es Soe aso le wd he do shore suet In'iSap she AIA meres with the American Soc of Ceri Pie Accouncan fring Tanger oanation ter aie the Arras ise ‘Cente bic Acuna (AICPA) Tis npntotion as hadley Inuaene on the developmen fauna Hoe espe ovr the yee the ALCEA abel serra commas and osc ts del wit he seal Inher Seveinp accusing pees. The st was the Crate on Accu tng rodents led by the Acounng Pier esr hich is replaced by the Ftp Accounting tnd Boat. Bach of these Pees hes isnedprenouncemens on accontng aes, hah ave tecome te peary seul gnc are enn ies tt sie tins race ‘Committee on Accounting Procedure rolesona ecantens heme mote acvely valved i he devant of rcuatng panies obo de meting Fenech ibe the NYSE snd ‘he AlcPa al teases sareuna he pees he See el find Meowe syn 1936 the AICP Commies on Accoutng Pree {cae wea fore. Ts conus had the aut To boas prone ‘amare of scbing fake a pocede tn aie a abies gene seeped pects Tae CAP wen relate naive dur sis wo yas Beste ore cave nreponsthe Sec eleae of ABR, 4 and wkd comes tt SEC wll fecome more scve the amit 8 nc eg te Qa ‘Gnei the rt egos aso expand cA nee sve fo EY ‘one ember ia Amer concen atte aver the to thesia cont ml con ‘ag. The thee aceied deter oases mart cat wa se by se i aking tag eo ng wn ae Chop 9 oeeene . Tantra of covey wa the npc lation om epi pr fa, Dung the 94D several eanporislaed ore ane of eaten ost ‘pret hese fis wore eee by be the CAD ane the SBC hich ‘mained that nee shoal be deen on ths bc ste dhe cenumed oer auecte ending ven Congres fesse ests 14 ‘StendinguhcIR Tax Ce all ueveratd depecton The oaks ofthe CAP wee cry pulse i the on of Axor ‘aoa vons Asie): owever thes. ponowacemen 1d not dk ‘mandatory prvine an receved aay cel es de genet 2cepane, “reve andesine2p0-ARBN 48 ARBs N46 htoUp 3! metepaNsied ftom 1959 una 1999. Te tecimunerdacens ot thve teins har hve ot hee cupertededsr Gated inthe FASE Actouning Standards Coie {ASH ASC dhssed below) and teleenced threurhont tl text where the ‘peal topics coved by the ARB are dae Mose ne perce cn he Meese through the aes seleece opton n the FASB ASC wee i! ‘Accounting Principles Board By 1999 the mete of tonmacngacountng paps were bene quested ‘ne sg ea ooo hye EAP wa ed Ince Adonai lf tr member sere pcs ie a9 es ee independence was questeoe. Fal eo tht ol of he CAP meres were relic tu be AICAA members preven nay Bal encase ti atalenis rm erengon ic smite. Ac area aca a a Shae wee ete eins for wider vepresetaien In he seelopenet ob ‘canons pnp The AICFatesoned to the ged shots 9 the {ExP by Iorming te Aces Pence owed (APD) The ojecier of hs tony nee to asta he wien expression of gepeay axe acon Peinpee (GAAP) tomato ser of deere appropiate Pace, tnd Inthe mated of esabiungacmuning ples wa quel whe Theft ARG catenan, Ween eel seared Hee a econ rear ‘sor more spied an pure ahd that he wef the en pt et Pao concent nner eleed psy om he acounting profes Dit asecduded Tals iaasey goverment ana schdemistalythe ronowneerent at TACAPR, tend opine” eet mandatory pecs Homeres te owas SLADE Opie Nace FAS ASC 7010-25 a 9) ad eee pal rer conse 198 Onn A ae FASB ASE 740-109) hgh ‘hence er wandardscting groups oye mar ann "i catrovery watever the proper med oe i ceting forte Investment at edi ne ey 100 coy ma csr or he se3 cgur + tener As Te tacos. Ate Pent ein Keno tok ist adn ges Sn imoveve sel ceonnme pty tet nv 9 det Ime ake ls ‘opposed toate dato based ona percentage the tos qulfed ave ‘en. Congres ped leghstion rein the inset ax ret In 1961 "ine APS wa then feel ith Sects ha compas should reir a repom the elles of the investient tax eed I coniere te aerative inproches 1. Thefoshrogph neta, which weae ihe tx ed ase dees Incomes enperse othe year secre 2. the ford matin which eet th ae rete edo nthe ot De net and sherelore nas ects vere Me othe sa tr Fence seprecton ages acto and sel APD Opin Ne, Ts prnounnement sted ta he fox tore the ale ofthe vt see The vec hi Jv wa ue Segtve on seetl Hons. Meters ofthe Kewoedy alison comiered the flow-lnough set more cate wh the Gato he sans a thre ofthe ten-Bip gheaconang ins adv he dens Hot ofl {he eommendanon of APH ino fo 2 tm 1969 te Se Hl Actouning Series Riese Na, lng ame ae ether ne owe ov tere Dood inthe Se ng nd the inc of ena scptane of APB Opn No 2 eed ie APS ery teeny tow ts evs poston. Thwgh elf the peso ‘leds as beng the pope snd met appropiate enter. PB Opin 9 spyroved tae neo ether the oe eth ‘he Komi abd scepance ef GAAP cuted the Coan ofthe AICPA to ale ule 203 fie Code of Proesonsl tes Tero reques departs tram setuning pone pblekes in AP pon any Roch Ba ‘fon bsogeny E438 Sunes cu ie FASB ASC ob clei Tocris vane! aatements Fin epee susie rept se the ‘it of ch departs ae eater That shad eto rea anges and pe accoutane wh deviate hoes auc yon Sento uty ac pare. th akan the felcs ancated wit page of APB Oi No.2 in fect. vohicts These Indias had full tne vespeaeic to ce ftogloyers theretoe the perfomance of thee ut ot the AP became se ‘nae. the ite 1960s, een of he develope cing pees ‘sein aon. Tce entered on the fl os 1 hinders fie meee AP. Te adil ering he dale reponse cere ha might nae Det 10. he ALCPAS ted Cs o Ec de mee ge 17 2. Thera of theta The age dat pb acon Hm a tht tine wee see amie one me a hee we ly ve crser pu acess oe APB 2. Ronin, Te emerging ccnsing pbs ere nt bes ave ‘ote aed ved uty eng de pre ee ‘The Financial Accounting Standards Board ae 1 the sromng cn of he APB n 1971 be Bad of etn af the AICPA apprised two comics. The Weal Conus, cared by Fes {Wheat unetn an how fancal aesnnng pie should be eeabchee, ‘The Iucinod Commie chard by Raber boa wo sao dtrtine The eects fart! sateen he Whoa Comte sue so 1972 recommending that the APR ‘abused andthe Fingal Accounting Stone Bord (FAS) We erste, coma to the ABD, home member were om the ALCP, te ee le ‘war to coe reptenaives om vars fata, The members fe PASH were abo toe ful-ne pil pee nie the APH members ho “he Duebined orice, rally wm asthe Study Grp ox Objectives fran statements sted bs ron fp 1978 alr subtana dbateand Sr costly more tentainnes i renner abit eiecives ‘han te Wheat Commitee ha wih respect ote staistnent of OS ‘he tay gp requested tot Revert be earl dea nel sep an deep {ng objectives aod tac saat ews saul be made coi poe co ‘etna ingroungasomring andor an proces. Toe pte ent [tse rscloed Reporte dacoed a Chaps 2 ‘he AICPA qk aye the Wheat Conmiicesecomendns, ao ‘heFASH Dea el ody charged wis ng aceunting ands THe Svar ofthe FASB a hws Aa of tes nominated by ea "Ns owe meer ve sev) eed an incre In hosncl eg Issetaed. The ogaation oxgizally chase to eect the raters wre the ‘Aan Acai Asoc the Alc P te Pana recive ei the Aadoral Asotin of Acne The NAA nae wea ar caged 0 Test of Managemen Actors ta 199) ain the Foun! Aaa Te ‘gunzetons The toad hat sovn the PASD fe Fatal Accounting Fa Aton (FAP) the EAP appa te Fhanek Secourng Sandee vary (Gann ASA}, eich ats the FASB on jor fly suerte seeton of lak fone ad he agenda te The rer of eae he PASAC a Ics year oar she yas a fers eas cory member tobe apace, "weve te asl mumbet inet ae own ob hiner ees {ois sepreenatn noma wide toupee partie “ie BAP is ao regent or appointing the meter of the FASB. ad sng he isn operete the FASB, Ul 2001 st he und ae ye Ap nme om he AICPA and the ges Pun acount Kas Moyen te Sashanes Osey Aol 2002 reqzed use FASD #9 be Ena by fee sc et puy ae cmpanies send of by devant he terested resin de prt sec The pore ofthat ns nese he ae Jeence ofthe PASE fom lhe omstucesi sen Te FAP een calles10 chapee + Teneo of ig Te MIGUIRE LI Sicane oe Fase 4 [ee || neme gee nore dn $29 al 9 year to spent he aes of tbe FASB, Figure 1 ‘haar he coment arate ofthe FAS. Dts the PAP and ie FASM have acer repeesenain fet po fexon than dle APB However un of te ees ae ua CPAS ros public peace ‘The sence the FAP has secenly come ner sey BY [Be SBC ta 1996 Ardur Lv, canan of the SEC. waked eocem ta he [APS public aates wera fate meee that the A be orga ‘eed thot mot of emer word be indo ith sang pabicseie ‘cgunds who te beter ale Yo reese he pie ee o any con 9 Ines een ont suggest ht te Se el! ape Me atone tothe TAP Tote there bs boon cng inthe met sping PAP ohare ad ehangen he soc of eer the FAP ote FASE are Bly ‘secon 1 SatanerOsley elise eters that mst be mein oder Aor de mak pic ofan aeeounting standards hoy be rerped 3 eomely aseped” The SEC responded by ising pe Sate Sang ¢derihe tach ses pent nga the FAR satay de eran Secon 108 te Sarbanes Oey At so scr the FAS Sani suing in eening standards are revo a “penerally ace for purpores a the enlaces n= Comtequeady the PASS the sgeizaon hav [chs Ting Say 86S 12 Secutsen hg Comin, nn saat ey Rein ‘Sten seme” shngo hc Al 232003 Aen eet see 30 UL tbe authority ote sandals or Sol acourig. Ts, trougos she Tee ronouncemont the FASD se tboe ait predecessor organs mt ‘ened or amenist se prevented CAA? “The Mission of the FASB ‘The FASS sion sto ead an lpove sana Sani accoung tnd seri ee te uodanes nd edocs ofthe pub, inciding eves ‘uae sone of nan rman. Tmaerpeg oacomg rmisio. he FASB ees to: 1. tmprove the fue snd reporting by fosing the pany ‘scsi ol evance and elbily and othe uses of compare ‘iy and comity scased In hope 2) 2. Keepatandards cumin to eect tgs in ted ng asinescand ‘Sages nthe ecm emorment 2. Consider omg ny spice aes of efieney in Sactl eportng ‘tat ge be prone hugh the sadaréstng process 44 Promote he meraton} compare of acouning senda caret ith mpecng he geno ana repotng 5. nprveshe carmen udertandg of he tre an purest sornston feaaed ane eps ‘Types of Pronouncements ‘Orin. te PABD suede pes of ponmuncemen Sens of Fonte ‘sso Sana (F4S) an epic suseueny. the FSH eased thew serra (1) Steen of Finale Come (SAC) {bt (Tcl ule S45 conveyed sequedssoannn eth a po ‘Educ for spc ctnting cs ad filly eeated GAAP. ners ‘tere toners externa Ss ronneemen. SCs are Ite Teens he objetivo and concepts tha FASD sein dela sa {bids of tan acc 2d Feporng 0 date the FASB hs sed seven Stas mt ace dus in pn Cgtrs 2 ad? SEA teed om, Semon Fina! Aacuing Sendo Sn tn ey ald ne cabs GAAP, Sar tey ae on nendedto make le 205 te ules of Codes fe auc nf Frotesnal is rented ht the aoe Benes of te ‘Seas be the PASE ise, However, nome othe bjeiver and co epithe board es toelé enable San statemen! uses Bete erst ‘Ke cinco and lntatans of ns acon normaion. te Susan ‘nee set nterpetve nate apo esas new stro end ‘sin andade They were intel wo provi guktanar om naa eo Ingand reporting pens nw til as ‘muy 1 3006 the FASB ASC became the age nace feral sects scouring princi, The FASB ASC become eet fo Intern and sal Descending ster septemtI9, 2009 On hat date veounceent ed ppvtue stand sete were sipensd. The ASB a hee pay gs In evetopng he aa 1, sol wer acs by coving al aurhortatve U.S. GAAPS in we pe, 2. swe thatthe cited octet acuaelyrepreenedauhontive USCreate ecoioton research sien tat up te aefor theresa ‘ens stanasréseting acy, ‘he Coat expe: 1. Rede be amount of se ad cto ceed sve an seus sch sue 2. Mig te tsk of nncomplnse thevagh improves by ofthe 9. Provie acurt information with real-ime wpa Aung Standards Upstesaeecscd ts the FASE ath he retearch an comergene lore sanded severe 1. Finan Accounts Stands Hoar FASB) Statements (FAS) ntereeatins FN) TehbeaBulltine (PTB) 4 Staff fosons (ES) «Saf Implementation Gudes(Q6:) 1 Statement No, 138 Examples 2 merging isk Force CT) a abacs topic Deve iplementaon Group (016) 9 Anting Pps Board (APB) Opinions ect Reven Balle is (ARB) 6 Accpuing neretaon (AlN) ‘Americ inte of Celie Puc Accountants AICPA) 45: Statements cf Postion (SOP) >. Asa and Accounting ides AAG) only errant seeing sulcance «Prati Bullets (#8), lnduing the Nodes wo Pratilones elevated to Practice Baleun stats by Practice Bullen 1 4 Teena inquiry Seve (1S}only for oftware Revenue Recomiton Aditionaly nan lt inceate te iy of he PASD ASC for pub ‘ona relvane portant stor comene rb he Si asec Sec aut inerpetations and adminearaace guides have been tne ot ‘elerecein the Coit, the hog 1 Relaon 5539 2 ancl Repotng Rless (FRR Accounting Seis Releases (ASR) ng ocean ny 1B 2. ntereetine Reese 4 Stlf Accounting Diets (SAB) 1 EarP Toni and SEC Stat Oberser commienss ‘ive Sly 1,209, he FASO wl longer Sak sien of Fina Accnuning Sands Changes oautettanve US GAAM the FASE 43 be ‘Subed tag an Asean Standads Update (ASU, Each A8U wl 1. Summa the key proviso the pout he othe A 2. bec the spot amendments othe FASB Cision, an 2, Belen tebe Boats detons. jing esues ‘Oe the ie ect ofthe FASE es fr fling eve timely gui ncn eergng implementation sed prac problems Dur 984 the FASB Fespned whi iin by (1 eebishing ak foe, Ie Berne ea “ok Fore (TP oat denying ee aod dla that eee eto and (2) expanding theca de PASAT lets an eo over quik guitare on 2 wie vate of ssc, "he EIT was famed fo supose to two contig ck. Os he ene Iban. acuta ae fc variety estate al aes se accounting proponents sh a tre ate srapr or a fae Inarusnis thes enter new sacs need inane ion, On ie oe and. many acute inna tate evertneeosy Badly esis provouncements ha cated» sondands ovetond probleme in meee {eal elo. Te FASE esas the RTF Up a ene lo selanesy ‘Mores a sues The goa Ue EILP to prose ney avian ev? [ues wile mii the umber of ines hose rool see el onounmsent the FS “Allmemtes ofthe as ce ceopyposoas a make em anate fms Inglis Curent mente nue te dra fromne and ang ‘Delage CPA me repented te FASO ae ter ofeach whoseresaschasua leo expeted ae ie aca ithe SEC ater ne ets Su pape nthe Jeers "The ET cess erent cng ett at ot pes asd ly caret ahora jonamnvements and advise FASE son wera ‘ue runs FAS ace, Emerging ve ee becase of ew ger ane. ten. aati in acount or easing yes ef tansacons ne pes ies and ew peat an rere Tey eqn vee comps Gee o setueve of ance sh fang of nee ten” ces sts may cme othe EFF ft a ase of soe ny ee aed sem ot asec themes ee cae om queton heey ctor, ‘Ono, ns ma sc bau fo queso ura De SEC or safer Seen. an neue may pepe proving th bass for ch sae iui tetore he HT is suai peerless sear race to the ecm of the, wae reer pra he se, ‘SSlcampshetenaconin quai Ane ny kan re ‘onecemcst—h ce esc vews ti EM meses th ie1A ohne Ya gman amen 09 tsk forest arive a compensa on coh se. A eonsenras is detned os thea te een voi member A onsen fet the (Getlahinent of GAAP and onseuts a eeDUingSandsrés upate 1 he asa ast Standards Overload ‘Onerthe es, the PAS. he SEC. ane the AICPA haven ee orimpesng itary scouting snd om the snes coeur ad [totlen es been ptr’ urdnsome fr mal snes tat do at Have {he carom tesonyss foreach ani yy al the pomooeemets aed by these author bodies, Thowe wh contend th ere a andar owen ble hve er argent rt again (1) stall GAAP eglrerenis Zrevevan tasmanian eerng reer ard (2 even Wen GAAP Tewucricis ae rlvane. ther faquenlywolote the perasve cos betel ‘ram [essed nape 2 “cio the sada ting proces He sal tsinses ao srt that ‘oaarure developed pata trserve te ns ofthe see marice RY Sina bins ono veep these ates ewer seo Tm @aar were oe desloped with mal bon ees 8 a, Soe comegacoc othe tana oerow! pos yo sma ses ake 1. sh smal boss mite 2 GAAP egurement rom uted nal tae nts a quliled or averse pion ma be ented 2 The ss of copying with GAAP reqiemcts ay aus asa busines Joong de develop foe oe eleanor, 3, Small CPA ems ha aor sales companies must ep up o dato i eh sme requirements a generational as, Bu they cna. ‘Mtn the spain tae avaiable on cele Yas he se any aconmans ate spo deren ode sada so to nds ned fst, thor ncaa aight St ‘wo gus One oop sal op soos talesy el ce Mh send ‘Jou pp ony pron tne or pric inde Hon for soup te care opie! sxauang pies wl er ta oa ens eer irl Scone seh came Se ‘rol apy ony ae aes Ths aun vate open ave std ave ote 2 connor Apel commu of toe Aen noe ete pe Jcdri he PAS ha aay taken he pn at Boal te ‘Cire migt coed whe ho ea we we dente Slonlcs ord UA) suc ¢ omeuncement hat ome Snes te Sopa fs sontaar lc seers rat an ea ‘Pefetapiaes fc Ce 3 eat teoie Caner EAA? my sein nn of air PASD snare, bene 1, spec Commitee an Aca Stars Ovens et eS Cree (Manns Sunde at es Yrs SIP TS) Au ce Ua sate 1D) (amar mre af alo sol sn) an nara nas ay “omen etined ferns reporigequranents aslo tothe ar Adnas ova ae Standard setting asa Political Process |NDisly nut! ender content ated ha accounting anda re ‘mucha poder tis son wth are ese logo emp ings ‘Ths phenomenor ens beau Yarey of partes are irsed sed afleted Dye devenjneat of acvuatng sands Vato ses af seco tre ‘ann arp nue te oar ster “Ie CAF APH ad #ASB have al Came ta ft del ot pressure to owl vend unas so st bent areal wer rp. Freep, {he APS ad nga Inet a velop a esters they a co Ing beter stemping to sve sty rent probiens howe the posh st stundoned whenit as deveined tat sh an clo might take upto Bre years find that she SEC would ot ak that lo beloe thang ato. The Bape Routt engaged sn rat Ilya sae foe oversee Iese de equ coaenss for paage 9 SPS mn ample majority #9 Ave of the sete members the FASS Congressional cen os three over Ie FASMs prop elimina ofthe potng nest ued of accou ferns combination ne chap) “wo ofthe mo noble earls te pling of aczouning saad voted hese feo stack ns ae ale sco ye et 19005 the awarding of append epee company exo: had Become resend. This ws especly te Inte nes eceloy compass, ‘whee sek opons Were aor comonent or emploee copensa As {sul he FASD devcoped s prtimanary anda thot would Pave reed ecipaistcxpense teva othe tock pons grants execs sd ‘ber employee: The propose standard was et with wesc opp, ‘Companies in tne igang nda eapresed te vocal ec Mano thse cmpanies Ra been roporsrg hs cai ante hat equred expensing of ack opons mol geal We ete ‘inter etn they ga ever oper When it Bet vient al he FASB sree determin oot wi the fancy pele ammeter of Con [pe Sutmersly. roped Klan wor inredare nt the owe and the Senate at tes the SE mot enforce oe FASB pogo stan ‘peri tc opts As the FASD crane ew fonard cng tnd, the senate este ype reahnon tha ged te FASE nt to owe Shesd waste standard ne sear ven nadie elt tht would hare Feet SEC tal ge heating at eas ote on exc are star Ise iy the ASH rode tat ruby ov ae et he deine of UscTASH, Ar tht pone SEC Cran Anta ov ho had been on seco ot ‘tong avrg the FASB roese stan couseed te FASB not be 2 Sad Wt tequted the espeasiog ole value a te opine fn he ‘ener 985, 9102. cere 15, Chak, Hoge, “the Maing of Acouting Sens Jena as ny (aero ataN6 chpert «he ctpmat i ny nme sttemens oer, atte extence might Be tk A ward ‘lowe ero o he ste opitom stander ae pase im 19: however sta UInutascton the gl FAS proposal wos er doped See Caper 15 for ‘Rater acu of arsunting rock ns "The lilac conroery wa conten. 9 Sepeber 2006 the Ash poblsat Samen sf PowalAunantra Sond Ne. 197, “at Value DMeasfements’ nom cotated t PS® ASC 2-4 hich ied he nek tee wed won dering fa ve sc 6 regpeedy FASB ASC 920-10 Iie mantis secure, Liter 2008, 4 marke es ected at rested fa sede ene or Bas CH ane Dat he regress! to set ‘eo messin teements ned exaeated the ake sb reg a owe sal soars es om teed sions The SEC sported tina sudy that eonaine nied canag the ls requirements. Ted otal he rie a the Ra Salas repo t R alspe ang eva that thee nasal ss ee pope had oe 2 at tel 2009 and ape S27 lo oy ets about te ft ‘hive reytemen." Subuoguemly pbc hevinge nee eld Cures ht Teil several stg exchaager-sncadng soe engesioan ting FASE ‘Getomon oer Here sDon mae el yu wat to So, st do "aha ‘sve ating “yo dota, wel The nape was st he FAS ued “hmhientem FAS 97-4, Des Su Yate Wn Ve Lee oA Tint or Ly Hav Sie Den ond Lei Maa hat ‘hee day bee FSB ASE 499106) tht wae generally Mout ese ‘he impor of hei sue requirement: However bequeath Inet o FAS ASC 82010. seventy ts fe ages Fo i he Une ‘Stes ont tara linge major of he ks reared Ua the aon ote ew repute dot hae a oun pace Economic Consequences ‘The mazes pear on te axptardcting proces wo sing. ons tring that many cong ata have spot econo conseienes “nets of on economle sey. Ti coop Boks Ma the aceon paces 16, the ever sunt scone te duane in Sven A Ze “Tie ‘Bose ts Gaaretie Pte Moet hhind rete ean a th {Got Jlnie,Feosy 270, Danone gene 208 205) ‘oleh ie fe fl oh a eg Te sun Pll an Tm Mc, “Congres Hees Baa ean Key Ral Wa Sto and 3 e308 hep eine mies] SOE0 SSUES 1, FnanclPsces fant, Lvs eran Coes, FASB Vale rede Cal or Mee of SEG, CPT ant PCAOW EL Facil Report Dg” {hind 3390), ps taacarneOhaypancon abe eer beteoe merc Hrs” Unpublished Wom ape 208 slsgion Secures ad ‘company ads ates sceuy pre a alee. Conmqueny the be of ‘keoutng metnoge nfense deo tsi ee ta as eli te ‘Covee the cee ct she FASB pruntuncement on eer posetrement Denes (OPE) FASB Sate Me 06, “Or Fo Retemen Rees ee ASH ASC 715103, 6 soa 80) Tae accu pldebs or OPH ed ‘ompanie to change tn «pryatyo-g bs oan oa es ft eat fared shes bens ht companies prove to eee and tr pene, ‘he acre! bss regace compenies mearue th bgion to pve ame Deri a are thee ce ig heya rphet roid sre The Shang accu cause ngs tase ecard expences or any co Danks Ctnsecaly eter ofeompenie smi snd ody suchen oie employes ere vol coe “The pac our eanuomie sot of aout fr OPA ita he eed fore FASS fo lense 9 he ner Fre devel sa "eporg paces andthe pai economic ronngtoncs oh new cist, ferent Assonbtng str seg dos ot cats Yes. ca be ‘mee sted fm pea esses ot ees aot cee cvs the poe uGeato cf isda’ sting. Evolution of the Phrase “Generally Accepted ‘Accounting Principles” ‘Ope est ofthe ecngtetwoe the AIA snes ie NYSE aowng ‘he ost af the Ges Deresson sari a Uae meng fe crite [aed CPA Te pine argrap ren tech he ola Iadoecteranined spain asrste The easogy nachna ae strmenisare Typeset acute ih petal apd aang frinapes” Tas eypesson lw iterpet enema he consents ‘ls a preedars tha veneer eh cept accountng pace "agen ite Thereore ancl notre a oa the eet at the Prinspes ae i andthe sateen omy wits te nce, “he expe “genealyarpndacoaing pene GAAP) has thus compe spy agate ihe scot penton The ede mea Ingo the phrase however eveied ater Sw ts 138 te AICPA piste {ional Heitor Stars bch re reseed. the expeson Late 1930, an AICPA commie recommen the ‘rd “preset faiy «contami with genta scope ing Paap ne nar to ote srs reper “he mcg GAAP mast spt ce ae ara ge sour exis Kr a exaned cnn protle, Homevey, ies Hale 209 ‘te AICPA Cv of Prolesioal Bus sgt epians wh searing Stnclspeesnatd ty the By egnted ye Cue te tba 8 {Sable se pee excep sued ceweaseecs, Caney that bed thease “he pidanc ke dese stone etre war rally oti tn seo of un Sand S45} Naat SAG. 5 es ween geaY SAS18 chagur te tenmentAceny Toy fe #3. Tis amendmen dase ie oer of poey that am ude sold {sin deeming beter an acounng ins fs Reval ed ‘ive capt pounce Ante en SN Fem fice toe sures kesh scouting pecs SA Re esther ice $830 9 whe stated pent ma expan he eng the ‘uso -procn iyi cantante th peony scoped scans Fini tthe iolepcndene ars report" 583 ee med tht dete buning the gent scence of parterar aosunag pei ie eons nv sage wivente source cfr al sh pena Sly 203, he ‘Ste ue ey usu neo IO) ft Sahanennc A of 0 he apy ene een ery Sr of sed Sri ‘Sei te sto) consent with te ccommenations peered the Stay [fant ond te ebdeotng poe, tddingipoving the oneal Tramework coving exsingacvening Metra, wanvuonng 10 2 ge Contorseteregine and converging PASE snd USD standart in 2008; he FASO feed P48 No.1 he My of aay Ase susiming Pr buss ed cone We SMe aN PA Gite tht are seer onc ne decent ore fetes Prete {he Gaar hcracchy ha dra ch ease fms dite oman ea {crete th th ope wa Compin td Ronit FASB Cnc Stucmene which st agro she tne ee fd pce FASD Sate inet, bso ncusy paces tar ne dey opie nner Seed Bator sotsbjet ede ewes “luring a8 To sos of one ace coun inp ee 1. AICPA AcoumtngReteash etn ai toon Pls Bos pinion hae not persed yao of FASB, FASE Satenate ‘tear accounieg San flterretatns FASB Sees 139 2. F489 Teh! Maas an eae the FASB, AICPA busy AE fn counting Gules a Steen of Pron 3. AICPA AccaitngStandade Exe Commitee Price alletne thar nave tee cleared by he #48 aa calsenss posting fhe ASH Enero ewes Tne Foc (I, 4. inplereeason side pushed bythe FASS sa AICPA scouting Tniegecereny aod prectestht e widely ego nd revel der general orn he nus 2. Stn ny Seni 9, Te Mee of resent Fay an Covi {2 Ste of mesg Sander 8.151 ity of Goma Ape ‘cut Peay ora CF FASH, 00) 2 SP Sr 0) ft at ny ef 0 he sine he el ee eo Pinta oa at, acing the ed ine AD cajun nary of Goa ape ratiicoteeer SPH amen NT ns eee PA A sed Ne {Ethie ree 8 aa thts copcr on ans mh fh Bok sped aeons sow nour tad on ue Fat he AICTA Cool Rotem Ee Theres fr ths spc stent ypu ang CPs hve fe geno one sich runes he iy so Ephesus arte le dnt are Oper ings ar cl saints tenants te re Inte tn tance eve te eder sho kes min athe Sevlopetel GAAPhos ha tory dee ye ACP ‘Dep te cining t 0 GaN he 3 GARR es mon shat manage and tach ay secton cf ace owas edn experote acl ear Tee oa fre rd wo Roos at ae euhsne on rime tx) sue seein EFeueny ed qu aig mnagenen exe aye Semana da insene come evened detec epee {nuh ease of rn ee nage Osea by fsck pce ‘Healey nce by ful sa qa esis ‘anager es aig net raring eons lg sl Offic cxmpanys xk aa enon cn ne tae ee en "pei, SE Charna srr ns te ber atte ed that anc pee decent to the py ear py tnd up tats ars cmesuence che 9 oe ups uso ap ‘Bet whe wuneoresssuning oo Sone os ea ‘ohalyapetinrearce el nace sacncar areal cl oe ‘oy tke recone, sus fak In n Bogt aed ‘np wrngingapeedt str ear revi hing che ped Sui beceher dt toe ‘The FASB's Accounting Stanclards Codification ‘er the pity eas fac acoumtingprofesonas hae ad © manage Trane of aaciantng sedate pemlged by cover! diferent acme ‘andar set any of these acon oes beau emir et ‘econ sata ha eve othe edn tot ecole keep THe Inge mamber standart aoe et save, Bt he eae stg manage wl cach paiva Th rc of FASAC scl t ‘lola ain So gga tat the FASB ass he of lsc tees {US GAAP by nti sapieaton snd coca peer During 2002 sa 205, dhe PASS texan vars pj nse these esl ely 2004 the FASE asete oro he cea od ceil poet Sepember 2008 the FAP uses apptoved fun forthe PASH ction nt reievlproje Sune 209, the TASH amnesty he Cdfeaton ‘woul he Sagi sure of auhoatve gengoeramental WS. GAAP fesine {ral stein ant pmsl pe ending es Spent, 209, 25. Mepenll “Sc Len Pay Hae or Change in Hc! Reoring ond ‘Sogo cy Fl itso oe 7 Soe Tt20, camper « Me pnenn AuagMery ‘Te ramet reitey sp RearactralUS. GAAP theotur by tpi» sis utr Moy he sandaraseang process to fews cn uplaen the coatcaton, “temo es or emarhog on he adatom proces wa esate lgmuple sumone sources empl he rseaehouess Fr ape ‘ng the revo est sntare, a nial nao fo reve existing PASE, ITF AlcPA and SEC nese fo eve rena relly sil ve, ‘a rol nea) conaveey ove ent sudan. Coc al the FASB to more cal ate iferencssnsanging ff one ih Invemadonalaeoning srs De eofeatn fepesees he ae eh love source of US GAAP Creating the econ oly te est te a ‘only pat ofthe sveral saci fad the arnt seting pre Spprosch, comtitieit saedtly wal know the reise cco langage Eoin want Tapa anes de ‘eel sytem taro eater ona and nein ta omen Sheba ascot scrote xn wm ite ns some Yo ceniaer 1 accotng pees foe smirks tr event eb a sree af outoratve GAAP Mf no alr ansaaes e Simorered sonata gidance rm ue sources may be cadet opautheraie Soueesof nenouthomatee ecouingguiance and ieee Indie fr eearpe, he alowing 5. Mace tha are eldlyrcopnaed and prevelen ther generally oF theinienry 1, FASB Concpts Statements |, Amencan iste of Cette Public Accountants (AICPA) sues ‘Intemational Fingal Reon Sandan ofthe Internationa ‘Accounting Sandan Boar Ponourcetens of praestonal 00a fos oragulcory agencies Technica Information Service tgulis and Replies included in AICPA “echinial Pratoehi 4 AccHintngrexeboks, handbooks an aticks fr and valve he fone ser Ingnidance depends elevane to pares canstances the ey the guiane, the genera ecg ote faa nao ssn autor, 404 {he extent oem prec FASB ASC 10510-0553) shar tices the enol of acouning standards, Avance lero alas. ‘ave pues byte ca! is wi 2 patent! rere ler the act a they ae bre sere o hr hey aero eae Ihe FASB ASC. Weave Ince several canes she agent meal fo ek etapir tha aline she FAS ASS The Role of Ethics in Accounting bats are conceted wat te pes obese sce an i a WT ‘Aronting eh ierporate sol andar of have owl hav) Sandan tha ee seetaly 10 the poles. The einen st ae ‘count tx Yecone ta complet. 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