Essay: Financial Accounting Standards Board

Essay: Financial Accounting Standards Board
June 8, 2011 Comments Off on Essay: Financial Accounting Standards Board Academic Papers on Business Studies,Sample Academic Papers admin

Sample Essay

The Financial Accounting Standards Board is quite pleased to see that you and your fellow congressperson have proposed a bill to preserve broad based employee stock options and enhance information disclosed in financial statements in order to make this information more meaningful to investors. One of the main objectives of the board is to view public opinion related to accounting standards and implement any recommendations which may prove useful to investors, shareholders, companies and accountants.

FASB issued statement 123 in order to remove concerns of financial statement users regarding the comparability of accounting practices related to stock options in various companies, complexity of U.S GAAP and convergence with International Accounting Standards. Statement 123 aims to remove any abnormalities which are caused by misinterpretations of stock options and values of stock options disclosed on financial statements.

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