Generally accepted accounting principles are formulated by the:
A) Securities and Exchange Commission
B) Financial Accounting Standards Board
C) Federal Trade Commission
D) General Accounting Office

Question

Quizplus · Accepted Answer

Generally accepted accounting principles (GAAP) are formulated by the Financial Accounting Standards Board (FASB), which is an independent organization. The Securities and Exchange Commission (SEC) may endorse and require the use of GAAP, but it does not formulate them. The Federal Trade Commission (FTC) is responsible for enforcing consumer protection laws, and the General Accounting Office (GAO) is an independent, nonpartisan agency that works for Congress and audits government agencies.

Generally Accepted Accounting Principles Are Formulated by The