Generally Accepted Accounting Principles (GAAPs) specify the methods and procedures that are to be used by public accountants when conducting external audits of company financial statements.

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Generally Accepted Accounting Principles (GAAP) are a set of rules and standards used for financial reporting and accounting, not specifically for conducting external audits. The procedures for external audits are governed by auditing standards such as those issued by the American Institute of Certified Public Accountants (AICPA) or the International Auditing and Assurance Standards Board (IAASB).

Generally Accepted Accounting Principles (GAAPs) Specify the Methods and Procedures