Federal Financial Accounting and Reporting Model

The Federal Financial Accounting and Reporting Model is a set of rules and standards that U.S. federal agencies follow to prepare their financial statements. Its purpose is to ensure transparency, consistency, and accuracy in reporting government finances, making it easier for policymakers and the public to understand how federal funds are managed and spent. It provides guidance on recording, classifying, and presenting financial data, helping to track assets, liabilities, and performance. Overall, it supports accountability and informed decision-making in the federal government.