FASB Accounting Standards Codification®
The official source of authoritative, nongovernmental U.S. generally accepted accounting principles (U.S. GAAP) since 2009, the Codification is the result of a major 5-year project involving the FASB, the Financial Accounting Foundation (FAF), the oversight and administrative body of the FASB, and their consultants, along with hundreds of stakeholders that contributed to its completion. The Codification does not change U.S. GAAP; rather, it reorganizes thousands of pronouncements issued by the FASB, the AICPA, and other standards-setting bodies into roughly 90 accounting topics, displaying all topics using a consistent structure. It also includes relevant Securities and Exchange Commission (SEC) guidance that follows the same topical structure in separate sections in the Codification.
The FASB and the FAF believe that understanding the Codification and how to use it is of critical importance to accounting professionals. It is also critical that accounting students learn how to use the Codification for more efficient and better understanding of authoritative accounting literature.
