Name some of the governing bodies that are responsible for establishing financial reporting parameters, and identify what areas or fields each has oversight over. Why do you think there are so many?
AICPA - American Institute of Certified Public Accountants
With more than 330,000 members, the AICPA is the national professional organization for all Certified Public Accountants (CPAs). Its mission is to provide members with the resources, information, and leadership that enable them to provide valuable services in the highest professional manner to benefit the public as well as employers and clients. In fulfilling its mission, the AICPA works with state CPA organizations and gives priority to those areas where public reliance on CPA skills is most significant.
The AICPA is responsible for establishing and enforcing a code of professional conduct and auditing standards in the United States. It is also responsible for establishing and administering quality monitoring (or peer review) programs for CPA firms that perform auditing and accounting services.
FASB - Financial Accounting Standards Board
A private sector body that sets accounting standards (referred to as generally accepted accounting principles (GAAP), the ground rules for the preparation of financial statement for non-governmental entities in the United States. The SEC requires all publicly-held companies to follow the rules set out in FASB pronouncements. Issues deliberated by the FASB include everything from broad ...
Governing bodies that are responsible for establishing financial reporting parameters