Which of the following statements about Generally Accepted Accounting

Which of the following statements about Generally Accepted Accounting Principles (GAAP) is
NOT true?

A) GAAP is a set of rule-based accounting standards established by the Financial Accounting
Standards Board (FASB).
B) GAAP is complex, providing more than 150 “pronouncements” as to how to account for
different types of transactions.
C) GAAP sets out the standards, conventions, and rules that accountants must follow when
preparing audited financial statements.
D) All of the statements above are true.

ANSWER

D