The accounting standard-setting process begins with which of the following steps?
A)A problem is identified.
B)A task force is formed.
C)Public hearings are held.
D)An exposure draft is issued.

Question

Quizplus · Accepted Answer

The accounting standard-setting process begins with identifying a problem, such as a lack of consistency in accounting practices or issues with current standards. Once a problem is identified, the process can move forward with the formation of a task force to research and develop potential solutions, public hearings to obtain feedback from stakeholders, and issuing an exposure draft for public comment. However, identifying a problem is the initial step in the process.

The Accounting Standard-Setting Process Begins with Which of the Following