Question

Statements of Financial Accounting Concepts issued by the FASB Identify the conceptual framework within which accounting standards are developed. Have been superseded by SFASs. Are subject to approval of the SEC. Represent GAAP.

Answer 1

The correct answer is Identify the conceptual framework within which accounting standards are developed.

Step-by-step explanation:

The Financial Management Concepts Statement is a document issued by the Financial Accounting Standards Board (FASB) that covers general concepts of financial information. FASB is the organization that establishes the accounting standards and guidelines that make up GAAP. The purpose of the SFAC document is to provide an overview of accounting concepts, definitions and ideas. It is considered a prelude to the Financial Accounting Standards Statement (SFAS).