ipl-logo

The GASB Interpretation Of Accountability

734 Words3 Pages

What is accountability and why is it important to governmental accounting? Accountability is often considered the most vital motivation behind correctly preparing the necessary governmental financial reports. The Governmental Accounting Standards Board (GASB) states, “Governmental accountability is based on the belief that the citizenry has a ‘right to know,’ a right to receive openly declared facts that may lead to public debate by the citizens and their elected representatives. Financial reporting plays a major role in fulfilling government’s duty to be publicly accountable in a democratic society” (Halsey, Hopkins 2014). In this paper, I will be discussing why accountability is the most crucial point in governmental accounting and what accountability actually entails. …show more content…

What does this mean in practical terms? To be held accountable means to have responsibility over a specific function. Accountability in the financial world refers to an accountant’s duty to act carefully and be knowledgeable of all professional practices. This is important because, oftentimes, accountants, or their managers, are legally responsible for the reports that they prepare (Investopedia 2008). Governmental accountants are required to prepare and issue two types of financial reports; fund financial statements and government-wide financial statements. Fund financial statements emphasize sources, balances, and uses of net assets that have been entrusted to government authorities. Government-wide financial statements provide information regarding the financial position of the government, much like the reports that would be prepared by a corporation (Halsey, Hopkins

Show More
Related
740 Words | 3 Pages

The purpose is “to develop, implement, and establish standards for accounting and financial reporting activities are accurate and reliable, and the resulting financial reports are as accurate and beneficial to the end users.” The end users that are discussed in the purpose are the outside users of the financial statements. Outsider users are……

Read More
976 Words | 4 Pages

As well, different practices of different countries makes it more complicated to have a unified format (Carpenter & Sanjyot, 2013). The book outlines how in the U.S. and Great Britain investors provide a lot “of capital to companies, so accounting rules are designed to help individual investors” (Carpenter & Sanjyot, 2013). It also speaks to Germany, Japan, and Switzerland and how they rely on their banks for their funding with less information being disclosed to the general public (Carpenter & Sanjyot,

Read More
1525 Words | 7 Pages

The abstract goes into detail on current governmental financial reports and the public view of these statements. Based on an Association of Government Accountants 2012 e-Report, most citizens determined the statements were too large and complicated to review and understand. The Public Financial Reports (PFR) is now being promoted from the Government Financial Officers Association to assist the public and increase participation.

Read More
1539 Words | 7 Pages

A business cannot operate successfully without financial statements, they show businesses how they are making or losing money, and they can help investors decide to invest in a company. Corporations financial statements gives information about its financial condition of the corporation. The statements consist of many things, such as the amount of money coming in or going out of a corporation. The statements also help when it comes to making decisions such as closing, opening or investing in a business (Bethel University, 2017). Walt Disney is a multimillion dollar corporation, and they use all four of the financial statements.

Read More
970 Words | 4 Pages

Standards for Financial Statements Jorge Garcia Keiser University ACG-4501 August 10th, 2014   Facts About FASB and GASB The Financial Accounting Standard Board (FASB) establishes standards for preparation of financial reports by non-governmental entities, this organization is recognized by the Security Exchange Commission (SEC) as authoritative, and it is also recognized by The American Institute of Certified Public Accountants. On the other hand, the Governmental Accounting Standard Board (GASB) establishes standards for financial reports done by U.S state and local government. This project will be about characteristic of each organization, as well as to compare and contrast their financial

Read More
336 Words | 2 Pages

To be accountable means to be responsible or answerable to someone for something. It involves taking responsibility for your own actions and being able to explain them. Accountability comes in many forms and is used in all aspects of our society. If you were not accountable when being a teacher students and parents could start to blame you for a lack of progress made. This could lead to a lot of people disliking you and your methods of teaching, and furthermore this could lead to you being sacked by a senior member of staff.

Read More
340 Words | 2 Pages

Accountability is a very controversial subject among different careers. Although accountability it is a simple word, it has a very big meaning. As careers differ, so do the standards one must hold in order to keep the company working and moving smoothly. With a higher standard comes a smaller area to make mistakes; therefore leading to a much higher amount of accountability one holds. For example, a doctor cannot make a mistake during a procedure on a patient and then go back and “edit” it to make it like new.

Read More
798 Words | 4 Pages

The near-term financial resources approach and long-term financial resources approach are two alternative recognition approaches for governmental fund financial statements. These recognition approaches provide a wide range of alternatives related to assets, liabilities, deferred inflows of resources, and deferred outflows of resources to be reported on governmental fund financial statements. The near-term financial resources approach or near-term approach focuses on a near-term view for both governmental fund activities and flows of financial resources. This approach is more of a cash approach and reports spending and financial resources available for spending that were acquired during the reporting period in the financial statements.

Read More
160 Words | 1 Pages

It is asserted by James Currun and Jean Seaton in ‘Power without Responsibility’ (1981) that the radical news press in the 19th century Britain was predominantly owned by the working class and news content was generated for a working class audience which effectively evoked their class consciousness. Whereby, the radical press created papers that “promoted a greater collective confidence by repeatedly emphasising the potential power of working people to effect social change” (Curren and Seaton, 1981). However, due to the rising costs of the media production, the radical press was deteriorating and thus was eventually replaced by the popular press which was owned by the ruling class as they could afford to maintain the production costs of the

Read More
420 Words | 2 Pages

The fund statements for governmental funds are presented using the current financial resources measurement focus and modified accrual basis of accounting. Governmental funds do not receive services in direct proportions to

Read More
508 Words | 3 Pages

Accountability (Noun): The obligation imposed by law or lawful order or regulation on an officer or other person for keeping accurate record of property documents or funds. The person having this obligation may or may not have actual possession of the property documents or funds. Accountability is concerned primarily with records while responsibility is concerned primarily with custody care and safekeeping (JP 1-02 Department of Defense Dictionary of Military and Associated Terms); responsibility to someone or for some activity; responsibility to someone or for some activity. Webster’s dictionary describes “Accountability” as having 4 “pillars” or fundamental structures: responsibility, answerability, trustworthiness, and liability. These

Read More
894 Words | 4 Pages

Background and Purpose The Statement of Financial Accounting Standards No. 117 as promulgated

Read More
836 Words | 4 Pages

“An accountant utilizes education or experience in the realm of business, finance or accounting to examine the accuracy of financial statements” (Horton). Accountants must have the ability to pay attention to detail using analytical skills to ensure accuracy in all tasks. Calculating what a client owes in taxes and preparing their statements and making sure they are paid timely and accurately. Accountants are responsible for maintaining company financial records to confirm that they are bringing in more profit than loss and that all their actions are legal. Accountants must also explain their findings this includes written reports, meetings with internal and external managers and clients.

Read More
1656 Words | 7 Pages

Also many companies reporting related to the state of the value added or environmental information, these are concentrated in industrial sectors. The financial statements reflect the financial position of company, financial performance and cash flows of the company, it is significant to note that the correct depiction of the impacts of transactions and other events and circumstances according to the explanations and criteria identification of assets, liabilities, income and expenses go in the same outline (Brealey,

Read More
1108 Words | 5 Pages

It is this that justifies accounting history as a crucially important academic discipline. “History, in itself is instinctive and indigenous to all of us” (Carnegie. et al, 2011), whether individuals know it or not, everyone’s decision making process is strongly based on past experiences, and the past is the key source resorted to whenever a decision is needed to be made. The same is applicable to accounting, the decisions made today in all practices and approaches are drawn from the historical developments in the accounting process, that have led the practice

Read More

More about The GASB Interpretation Of Accountability

Open Document