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Question
The American Institute of Certified Public Accountants (AICPA). is an organization of CPAs in the United States. Prior to 1972, the AICPA had a major influence in standard setting. In 1972, the FASB began standard setting and was created independent of the AICPA. However, the AICPA remains interested in standard setting.
In that regard, it has a group called the Accounting Standards Executive Committee (AcSEC) that forms opinions on current topics. The AcSEC issues opinions that sometimes agree with and other times disagree with the FASB's thoughts. Locate an AcSEC position (comment letters to other organizations). Select one letter to the FASB, summarize the topic covered by that letter, and indicate the position taken by the AcSEC.
1. Do you agree with the position taken by the AcSEC? Why, or why not?
2. How much weight do you feel the FASB should put on these AcSEC letters in its due process procedure? Why?
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