Which of the following statements is NOT true?
A) The American Institute of CPA's has in the past had strong influence on the development of accounting principles.
B) The Sarbanes-Oxley Act places great emphasis on internal controls and fraud prevention.
C) The SEC has authority to accept or reject financial accounting principles and standards developed by the FASB.
D) Because of the Sarbanes-Oxley Act,it is probable that the FASB's conceptual framework will become less important in developing accounting principles and standards.

Question

Quizplus · Accepted Answer

This statement is not true because the Sarbanes-Oxley Act actually increased the importance of the FASB's conceptual framework in developing accounting principles and standards by requiring companies to follow Generally Accepted Accounting Principles (GAAP), which are based on the FASB's conceptual framework.

Which of the Following Statements Is NOT True