The FASB Accounting Standards Codification
Authoritative Source of U.S. GAAP
The FASB Accounting Standards Codification (ASC) is the single authoritative source of nongovernmental U.S. GAAP. It organizes accounting standards by topic, making research more efficient and reducing inconsistencies.
- Replaced numerous individual accounting pronouncements.
- Organized by Topics, Subtopics, Sections, and Paragraphs.
- Updated whenever new ASUs become effective.
- Used extensively by accountants and auditors.
Note
Knowing that the ASC is the authoritative source of U.S. GAAP is a common CPA FAR exam concept.
Summary
The Codification provides one organized source for all authoritative U.S. GAAP guidance.