This paperwork of ACCT 304 Week 1 DQ 1 Development of Accounting Standards includes:
Generally Accepted Accounting Principles (GAAP) are guidelines for companies to follow as they prepare and issue financial statemnents. Let’s start by getting an understanding of why the guidelines were developed in the first place? Who relies on the financial statemnets (external users)? What happens if an external user relies on financial statements that are inaccurate? What negative consequences can arise from relying on inaccurate financial statemnts?