Why Is the FASAB Named an "Advisory Board"? What Happens

question 53

Essay

Why is the FASAB named an "advisory board"? What happens if the GAO or the OMB rejects one of its standards?

---

Definitions:

Average Variable Cost

The variable costs associated with production, when divided by the number of units produced, indicate the cost per unit.

Marginal Cost

The cost of producing one additional unit of a good or service, an important concept in economics for determining the optimal level of production.

Average Total Cost

The total cost to produce a given quantity of output divided by the quantity of output produced; it includes all opportunity costs.

Diminishing Marginal Returns

Refers to a point in production where adding an additional factor of production results in a smaller increase in output.