To ensure accuracy and consistency in the way financial information is reported, accountants follow rules known as:
A)accounting rules and principles
B)principled accounting procedures
C)comparable accounting standards
D)generally accepted accounting principles
E)financial accounting standards

Question

Quizplus · Accepted Answer

Generally Accepted Accounting Principles (GAAP) are the common set of accounting principles, standards, and procedures that companies use to compile their financial statements. GAAP is a combination of authoritative standards (set by policy boards) and the commonly accepted ways of recording and reporting accounting information.

To Ensure Accuracy and Consistency in the Way Financial Information