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Politicalization of accounting standards

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Case 1-3: Politicalization of Accounting Standards: (Financial Accounting Theory and Analysis, p. 27). Prepare a 305-word response for each of the following cases answering the questions located at the end of each case: Some accountants have said that politicalization in the development and acceptance of generally accepted accounting principles (i.e., standard setting) is taking place. Some use the term politicalization in a narrow sense to mean the influence by governmental agencies, particularly the Securities and Exchange Commission, on the development of generally accepted accounting principles. Others use it more broadly to mean the compromising that takes place in bodies responsible for developing these principles because of the influence and pressure of interested groups (SEC, American Accounting Association, businesses through their various organizations, Institute of Management Accountants, financial analysts, bankers, lawyers, etc.).

Reference no: EM13926437

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