“In 1973, the Foundation established the FASB to establish and improve standards of financial accounting and reporting for nongovernmental entities. Consistent with that mission, the FASB maintains the FASB Accounting Standards CodificationTM(Accounting Standards Codification) which represents the source of authoritative standards of accounting and reporting, other than those issued by the SEC, recognized by the FASB to be applied by nongovernmental entities” (FASB website). The FASB has been the designated organization in the private sector for establishing such standards, as well as monitoring and controlling business reporting and accounting practices in modern organizations. FASB has rules and regulations that limit business practices and reporting financial information as well as protect the business and public stakeholder communities. There are many important facts about what the FASB does and regulates but they are accountable to the SEC (U.S. Securities and Exchange Commission) and their standards. The Financial Accounting Standards Boards members are appointedby the private sector organization FAF (Financial Accounting Foundation).