Question

Drag each label to the correct location on the table. Match the different regulatory authorities to the level at which they are functional. National and State Level Regulatory Level State Level Regulatory Authority Financial Industry Regulatory Authority Securities and Exchange Commission Government Accounting Standards Board Financial Accounting Foundation Department of Business and Professional Regulation for CPAs

Answer 1

The Financial Industry Regulatory Authority, Securities and Exchange Commission, Financial Accounting Foundation, and Government Accounting Standards Board are national-level regulatory authorities, while the Department of Business and Professional Regulation is a state-level authority.

Step-by-step explanation:

The question asks to match different regulatory authorities with the corresponding level at which they are functional, either national or state level. The Financial Industry Regulatory Authority (FINRA) would come under the national level as it is an independent, non-governmental regulator for all securities firms doing business with the public in the United States. The Securities and Exchange Commission (SEC) is also a national-level authority that regulates the securities markets and protects investors. On the other hand, the Department of Business and Professional Regulation is typically a state-level entity responsible for licensing and regulating businesses and professionals such as CPAs within a particular state. The Financial Accounting Foundation oversees the establishment and operation of the Financial Accounting Standards Board (FASB) and the Governmental Accounting Standards Board (GASB), both of which are private-sector organizations that provide standards for both government and non-government accounting practices across the country, and thus operate at a national level. The Government Accounting Standards Board (GASB), which is part of the Financial Accounting Foundation, specifically provides accounting standards for state and local governments throughout the United States, and is therefore a national-level body.

Answer 2

National and State Level Regulatory Authorities

| Regulatory Authority | Level |

| Financial Industry Regulatory Authority | National Level |

| Securities and Exchange Commission | National Level |

| Government Accounting Standards Board | National Level |

| Financial Accounting Foundation | National Level |

| Department of Business and Professional Regulation for CPAs | State Level |

Step-by-step explanation:

The Financial Industry Regulatory Authority (FINRA) operates at the national level, overseeing and regulating brokerage firms and the securities industry. It functions to enforce rules and regulations, ensuring fair and ethical practices within the financial markets.

The Securities and Exchange Commission (SEC) also operates at the national level, overseeing the securities industry, enforcing regulations to protect investors, and maintaining orderly and efficient markets.

The Government Accounting Standards Board (GASB) is a national-level regulatory authority that establishes accounting and financial reporting standards for state and local governments in the United States. It provides guidelines to ensure transparency and consistency in financial reporting.

The Financial Accounting Foundation (FAF) operates at the national level and oversees the bodies responsible for setting accounting standards, such as the Financial Accounting Standards Board (FASB) and the Governmental Accounting Standards Board (GASB). FAF plays a crucial role in governing these standard-setting organizations.

The Department of Business and Professional Regulation for CPAs functions at the state level, regulating and overseeing Certified Public Accountants (CPAs) within specific states. It ensures compliance with state-specific rules and regulations governing the practice of accounting and related professional services.

These regulatory authorities play pivotal roles at both national and state levels, ensuring compliance, setting standards, and maintaining the integrity of various industries within the financial and accounting sectors.