Which of the Following Statements Is True About the IASB's

question 30

Multiple Choice

Which of the following statements is true about the IASB's approach to accounting standard setting?

• A)The IASB approach is very similar to the rules-oriented basis favored by the FASB in the United States.
• B)The IASB uses a principles-based approach to standards formulation.
• C)The IASB pronouncements have been called a "cookbook" of accounting standards.
• D)The Sarbanes-Oxley Act requires the FASB to move toward the approach for standard setting used by the IASB.

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Definitions:

Pedestrian Witnessed

Pertains to an incident or event that is observed by a person who is on foot at the time.

Auto Accident

An unexpected event involving a vehicle that usually results in damage and/or injury.

Restatement Third

A collection of volumes that attempts to distill, clarify, and update the common law in the United States, as applicable to various areas of law.

Torts

are civil wrongs recognized by law as grounds for a lawsuit, resulting in injury or harm constituting the basis for a claim by the injured party.