standards and purposes of accounting

Accounting standards:
An accounting standards is a common set of principles, standards,
and procedures that define the basis of financial accounting
policies.
 Accounting standards apply to the full breadth of a entity’s
financial picture, including assets, liabilities, revenue,
expenses and shareholder’s equity.

Purpose:
The purpose of accounting standards can be answered by first
looking at the purpose of accounting. The accounting profession is
looked upon to provide analysis of assets, financial stability,
financial performance, record keeping and more. To provide
accurate and reliable information, the accounting profession
requires rules and guidelines on how to report information that is
the purpose of accounting standards to provide guidance to the
accounting profession.




Audit committee and its independence