Generally Accepted Accounting Principles (GAAP)are best defined as:
A)Standards or methods for presenting financial accounting information.
B)Government-mandated rules that companies must follow.
C)Rules that best estimate profitability for a company.
D)The group of individuals that create and enforce all accounting rules.

Question

Quizplus · Accepted Answer

GAAP are a set of standards and methods used for presenting financial accounting information in a consistent and meaningful manner. They are not government-mandated rules, and although they provide useful information for estimating profitability, that is not their primary purpose. GAAP are not created and enforced by a single group of individuals, but rather by a combination of private sector organizations and governmental agencies.

Generally Accepted Accounting Principles (GAAP)are Best Defined As