Accounting standard setters

Accounting standard setters are organizations or groups responsible for developing and updating the rules that guide how companies prepare their financial statements. These standards ensure consistency, transparency, and comparability in financial reporting, allowing investors, regulators, and other stakeholders to make informed decisions. They establish guidelines on recognizing, measuring, and presenting financial information, which helps create trust and accuracy in financial reports. Examples include the Financial Accounting Standards Board (FASB) in the U.S. and the International Accounting Standards Board (IASB) globally. Their work ensures financial statements are clear, reliable, and comparable across organizations and industries.