GASB and FASB Analysis Paper.

Governmental Accounting Standards Board and Financial Accounting Standards Board In this paper I will be discussing the objectives of the Governmental Accounting Standards Board (GASB) and the Financial Accounting Standards Board (FASB). The GASB was organized to establish standards of financial accounting and reporting for state and local government entities. The FASB was organized to establish standards of financial accounting and reporting for the private sector. (www. gasb.org) The mission of both boards is …

…traditionally found in the budget reports only. The FASB's influence on government accounting practices is greater than may it appear, because government engage in many business-type activities, such as electric utilities, parking garages, and hospitals. The government usually account for these activities in the same way as their private sector counterparts, and the GASB requires them to adhere to all FASB standards issued before the 1989 jurisdiction agreement that do not conflict with a GASB standards.