Case 8-2: Whither The Withering Standard Setters? Essay -- Internation

Chapter 8 Case 8-2Whither the Withering Standard Setters?1. there are a payoff of differences between the International explanation Standards Board (IASB) and the Financial Accounting Standards Board (FASB). The IASB consists of 16 members with 3 part epoch members. The FASB consists of 5 members with no part time members. The members of the IASB board consist of 4 from Asia, 4 from Europe, 4 from North America, 1from Africa, 1 from South America, with 2 from any region in the world. This board is diversified with its members organism knowledgeable in the varying palm of accounting such as the academic world, as well as those who utilize, prepare, and audit financial records. The FASB on the former(a) hand requires that its board members be involved as a watchdog for the public. The FASB is a geographically diverse board with members who are knowledgeable in the fields of business, as well as accounting and its required reporting. Therefore the FASB board is made up of members fr om universities, corporations, accounting firms, as well as investors.There are a number of comparisons between the IASB and the FASB. The IASB is an organization whose design was based upon that of the FASB. Therefore, the process used by both is similar in establishing accounting standards. Those prescribed to either board only sit for one term of five years. The meetings of the organizations are made public knowledge and are publically held. Committees and people inside to these organizations decide where to focus the efforts of the respective organizations. Both boards conduct research of subjects presenting the positives and negatives of said, but in the IASB this is accomplished in working groups, whereas in the FASB they utilize employed p... ...ing the yearly budgets of each organization both have huge budgets as seen here from 2012 http//www.ifrs.org/The-organisation/Governance-and-accountability/Annual-reports/Documents/2012-IFRS-Foundation-Annual-Report.pdf and here http//www.accountingfoundation.org/cs/ContentServer?c=Document_C&pagename=Foundation%2FDocument_C%2FFAFDocumentPage&cid=1176162645907 Therefore, though I do not know if the IASB will maintain without the FASB. However, I do believe that the IASB and FASB will not converge.Works CitedChoi, Frederick D. S., and Gary K. Meek. International Accounting. 7th ed. Boston prentice Hall, 2011.Financial Accounting Standards Board. FASB. 2012. Web. 29 Mar. 2014. International Financial Reporting Standards. IFRS. 2012. Web. 29 Mar. 2014.