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Research and Compare the Role of Aasb

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Research and Compare the Role of Aasb
Research and compare the role of AASB both before and after the changes referred to the above.
This report analyses and sets out the role of the Australian Accounting Standards Board and also considers the main aims and purpose of AASB and hence drawing a conclusion as to whether AASB is a significant player or a toothless tiger.
The Australian Accounting Standards Board is an Australian Government Agency and according to Deegan (2010), AASB is defined as the “body charged with developing conceptual framework for accounting practices, making and formulating accounting standards and participating in and contributing to the development of a single set of accounting standards for the world wide use”. Therefore AASB plays a very important role in the Australian Accounting Standards but however, since the Financial Reporting Council (FRC) has been imposed and also due to some legislative changes, the effectiveness of the AASB appears to have been neglected.
AASB Background
Accounting Standards in Australia were originally developed by the professional accounting bodies and were enforceable under their ethic codes. The professional bodies then joined the Australian Accounting Research Foundation (AARF) in 1966 and this eventually encompassed both the Accounting Standards Board (ACSB) and the Public Sector Accounting Standards Board (PSASB). These boards worked in accordance and prepared standards for both private sector and public sector organisations. Then, at the start of 1984, the Accounting Standards Review Board (ASRB) was established by the Ministerial council for Companies and Securities to review the standards and give them the force of company law where it was approved by ASRB. This system then operated under the companies Act 1981.The ASRB then merged with ACSB in 1988 with the latter working closely with the PSASB.
The ARSB was then re established under the Australian Securities Commission Act 1989 and in 1991, it was renamed as the Australian


References: http://www.cpaaustralia.com.au/cps/rde/xbcr/cpa-site/ED_193.pdf http://www.deloitte.com/view/en_AU/au/services/assurance/accountingtechnical/accountingalerts/accountingalertsarchive/3b6ae33d390fb110VgnVCM100000ba42f00aRCRD.htm http://www.aasb.com.au/admin/file/content102/c3/ACCPS5_07-01.pdf
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