DENNISWRIGHT

1) Discuss some of the major differences between GASB and FASB when it comes to setting accounting standards.

2) One of my favorites is illustration 1-2 in the text, which compares the reporting objectives for state/local government, the federal government, and NFPs.

How does this relate to the differences between GASB and FASB :

Comparison of Financial Reporting Objectives—State and Local Governments, Federal Government, and Not-for-Profit Organizations

(Wilson, 2010, p. 7)

Wilson. (2010). Accounting for Governmental and Nonprofit Entities, 15th Edition [VitalSource Bookshelf version]. Retrieved from http://online.vitalsource.com/books/0077653025

The citation provided is a guideline. Please check each citation for accuracy before use.

3) Why are there major differences between governmental accounting systems vs. business accounting systems?

Think about the differences in purpose and focus of a governmental (or even NPO - non profit organization) entity compared to a for-profit business entity.

4) Class, because citizens legally do not have a choice of whether or not to pay taxes, but an investor can choose whether or not to buy stock in a company, does this mean governmental entities have greater accountability and responsibility?  Why or why not?