The rule-setting body, which authorizes generally accepted accounting principles is:
A) GAAP
B) FASB
C) SEC
D) Federal Reserve System

Question

Quizplus · Accepted Answer

FASB (Financial Accounting Standards Board) is the rule-setting body that authorizes generally accepted accounting principles in the United States. Options A and C stand for Generally Accepted Accounting Principles and Securities and Exchange Commission, respectively, but they are not the rule-setting body. Option D stands for the Federal Reserve System, which is responsible for monetary policy in the United States, but not for authorizing accounting standards.

The Rule-Setting Body, Which Authorizes Generally Accepted Accounting Principles Is