Accounting Standard Board Paper 3

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Running Head: ACCOUNTING STANDARDS BOARDS PAPER Accounting Standards Boards Paper Lila Alemar ACC 541 Shauki Smith May 24, 2010 History of the relationship between IASB and FASB The International Accounting Standards Board (IASB) began operations in 2001. It is an organization committed to developing, in the public interest, a single set of high quality, global accounting standards that require transparent and comparable information in general purpose financial statements. The IASB has developed procedures that bring transparency, predictability, and consistency (IASCF Press Release, December 2, 2007). The Financial Accounting Standards Board (FASB) began operations in 1973 and…show more content…
Consistently with those guidelines, and after discussion with representatives of the European Commission and the SEC staff, the FASB and the IASB have agreed to work toward the following goals for the IASB-FASB convergence program: Joint projects being conducted with the IASB: Joint projects involve the sharing of staff resources, and every effort is make to keep joint projects on a similar time schedule at each board. Short-term convergence: The goal is to reach a conclusion about whether major differences in the following few focused areas should be eliminated through one or more short-term standard-setting projects. Liason IASB member on site as the FASB offices: One of the most visible features of the FASB’s daily operations that promoted convergence is the presence of a full time IASB member in residence at the FASB offices. The role was created to facilitate information exchange and increase cooperation between the FASB and the IASB. FASB monitoring of IASB projects: IASB projects are monitored the FASB based upon the FASB’s level of interest in the topic being addressed. The convergence research project: The project seeks to identify the substantive differences between US GAAP and IFRS and to catalog those differences according to the Board’s strategy for resolving them. The project scope includes differences in standards addressing
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