What Is The FASB?

The FASB is one organization that provides standardized guidelines for financial reporting. The mission of the FinancialAccounting Standards Board (FASB) is to establish and improve standards of financial accounting and reporting for the guidance and education of the public, including issuers, auditors and users of financial information.

Accounting standards are essential to the efficient functioning of the economy because decisions about the allocation of resources rely heavily on credible, concise, transparent and understandable financial information. Financial information about the operations and financial position of individual entities also is used by the public in making various other kinds of decisions.

To accomplish its mission, the FASB acts to:

• Improve the usefulness of financial reporting by focusing on the primary characteristics of relevance and reliability and on the qualities of comparability and consistency;

• Keep standards current to reflect changes in methods of doing business and changes in the economic environment;

• Consider promptly any significant areas of deficiency in financial reporting that might be improved through the standard-setting process;

• Promote the international convergence of accounting standards concurrent with improving the quality of financial reporting; and

• Improve the common understanding of the nature and purposes of information contained in financial reports.

The FASB develops broad accounting concepts as well as standards for financial reporting. It also provides guidance on implementation of standards. Concepts are useful in guiding the Board in establishing standards and in providing a frame of reference, or conceptual framework, for resolving accounting issues. The framework will help to establish reasonable bounds for judgment in preparing financial information and to increase understanding of, and confidence in, financial information on the part of users of financial reports. It also will help the public to understand the nature and limitations of information supplied by financial reporting.

Where To Find Certified Public Accountants

You have decided you need the assistance of Certified Public Accountants.  How do you find Certified Public Accountants?  You can go through the yellow pages, of course, and look under the heading Certified Public Accountants.  Alternatively, you can do an internet search for Certified Public Accountants.  These methods, however simple they may sound, might not be effective in finding qualified Certified Public Accountants.

Looking through your local yellow pages for Certified Public Accountants will give you hundreds of firms and individuals that are Certified Public Accountants in your area to choose from.  How do you choose one of the Certified Public Accountants with no information other than the address and phone number?

Doing an internet search for Certified Public Accountants will give you thousands of results, many of which will not be local to your area, and many of which will be information about Certified Public Accountants rather than listings for the Certified Public Accountants themselves. 

You can use a localized search engine such as Yahoo Local or Google Local to find Certified Public Accountants in your area.  However, this too has its drawbacks.  If you use Yahoo Local, you will only receive results that are like yellow page results:  an address and phone number.  There may or may not be reviews by consumers of the Certified Public Accountants as well, however, which could also help you to make a decision.  Google Local, however, also provides you with website links for the Certified Public Accountants when they are available.  This allows you to go to the websites of the Certified Public Accountants and gather information about the firm or individual to help you make a decision.

Once you have narrowed down your search for Certified Public Accountants to a smaller number of possibilities, you should go to your local Better Business Bureau website or call the Better Business Bureau directly to discover what the rating is for the Certified Public Accountants you found in your search.  These ratings will tell you if the Certified Public Accountants have ever had complaints filed against them with the Better Business Bureau.

Another source for testing the credibility and ethics of the Certified Public Accountants is to contact your local Board of Accountancy or similar agency.  These agencies are charged with monitoring Certified Public Accountants.  They also take complaints and follow up with disciplinary measures against Certified Public Accountants.  The Board of Accountancy may also perform periodic audits of the work performed by Certified Public Accountants.  This monitoring puts these agencies in the best position to help you make an informed decision when choosing Certified Public Accountants.

When in doubt, never work with Certified Public Accountants that have had complaints against them.  Do not work with Certified Public Accountants that do not have proper licensing to practice in your locality.  You should also avoid Certified Public Accountants that will not meet with you in person, sign contracts, or provide proof of education, licensing, and certification.  If you still have trouble finding Certified Public Accountants, select of well known firm of Certified Public Accountants to handle your affairs.  While the fees associated with these Certified Public Accountants may be higher than smaller firms, you will have the peace of mind that you are in good hands of ethical, qualified Certified Public Accountants.