ACC 497 Week 2 Textbook Problem

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Case 1-3 Politicization of Accounting Standards (350-700 total word count)


a.


The Committee on Accounting Procedure of the AICPA was established in the mid to late 1930s and functioned until 1959, at which time the Accounting Principles Board came into existence. In 1973, the Financial Accounting Standards Board was formed, and the APB went out of existence. Do the reasons these groups were formed, their methods of operation while in existence, and the reasons for the demise of the first two indicate an increasing politicization (as the term is used in the broad sense) of accounting standard setting? Explain your answer by indicating how the CAP, APB, and FASB operated


or operate. Cite specific developments that tend to support your answer.


b.


What arguments can be raised to support the politicization of accounting standard setting?


c.


What arguments can be raised against the politicization of accounting standard setting? (CMA adapted)


Case 2-2 The Theoretical Foundation of Accounting Principles (no more than 500 (max) word count)


Discuss the goals and objectives of


i. The Conceptual Framework Project


ii. The Emerging Issues Task Force

Response to these questions should be written in own words with References easily accessed to the Internet with

links

to the website that you use as a reference. Please try to stay within the provided word count. The assignment is due Monday March 6, 2017 by 3pm CST. I’ve attached the Grading Rubric to review if needed.

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