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Financial Accounting Regulatory Bodies

Regulatory bodies
Many different clubs and governing bodies exist that monitor and review the practice of accounting. The FASB, IASB, SEC and PCAOB are a just a few. The Financial Accounting Standards Board, or FASB, is a privately run organization whose main function is to create the generally accepted accounting principles for Use businesses (Financial Accounting Standards Board, 2008).   These rules are also referred to as GAAP (Financial Accounting Standards Board, 2008). The FASB only monitors companies operating within the United States and was established with the public's interest in mind (Financial Accounting Standards Board, 2008). The FASB has been designated as the responsible organization to set all accounting standards for public companies in the United States (Financial Accounting Standards Board, 2008). The FASB was created in 1973 “and replaced the Accounting Principles Board and the Committee on Accounting Procedure of the American Institute of Certified Public Accountants” (Financial Accounting Standards Board, 2008). The FASB's mission 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" (Financial Accounting Standards Board, 2008).
International Accounting Standards Board
International accounting practices need some form of guidance in order to keep companies, investors and employees accountable. International accounting practices ensure that the proper financial records will be kept in order to safe guard against corrupt practices that lead to scandals and misuse of money. In 1973, the Board of the International Accounting Standards Committee was founded as a result of an agreement by accountancy bodies (International Accounting Standards Board, 2008). “In April of 2001, the International Accounting Standards Board (IASB) assumed accounting standard-setting responsibilities from its predecessor body, the...