Which of the Following Is Not True About the FASB

question 15

Multiple Choice

Which of the following is not true about the FASB?

• A)It considers the economic consequences of proposed accounting policies.
• B)It has seriously considered the question of the desirability of corporate social responsibility accounting.
• C)It is sensitive to whether there are sufficient benefits to external users to warrant the imposition of new accounting standards.
• D)The FASB has commissioned studies to aid in assessing the effects of proposed standards on firms.

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Definitions:

Functional Theory

a theory that explains how aspects of society operate to fulfill necessary functions, maintaining social stability and equilibrium.

Attitudes

Refers to psychological tendencies expressed by evaluating a particular entity with some degree of favor or disfavor.

Utilitarian Function

The practical or useful role served by an object, system, or behavior, typically aimed at satisfying basic needs or accomplishing tasks.

Functional Theory

A theoretical perspective that explains how and why specific social, psychological, or physiological functions contribute to individual or societal stability.