Question

Responsibility for establishing generally accepted accounting principles (GAAP) for nongovernmental, not-for-profit organizations rests with the FASB and was most clearly established

a. In the AICPA's Statement of Auditing Standards No. 69 (hierarchy of GAAP).
b. When the GASB was created in 1984.
c. By the FASB Codification.
d. When the FASB was created in 1974.

Answer 1

The responsibility for establishing GAAP for non-governmental, not-for-profit organizations lies with the FASB and was most clearly established when the FASB was created in 1974.

Step-by-step explanation:

The responsibility for establishing generally accepted accounting principles (GAAP) for nongovernmental, not-for-profit organizations rests with the FASB (Financial Accounting Standards Board) and was most clearly established d. when the FASB was created in 1974.

The FASB was established in 1973 and officially began operations in 1974. It is the primary private-sector body in the United States for setting accounting standards for nongovernmental entities, including not-for-profit organizations. The FASB Codification is the current single source of authoritative U.S. GAAP and is maintained by the FASB.