Institute to focus on industry-specific accounting guidance. (Highlights).

FASB will lead an effort to promote the use of principles-based standards (www. fasb.org) in the United States by streamlining the accounting rule-making process. The AICPA had previously reviewed the FASB plan and discussed it at the fall council meeting. Under the new arrangement, AcSEC--the technical committee that represents the AICPA on financial reporting matters--no longer will issue general-purpose accounting statements of position. However, it will continue to develop industry-specific accounting and audit (A&A) guidance for financial statement preparers and CPAs in public practice. In addition it will evaluate electronic methods of updating its A&A guides more often.

Other ongoing AcSEC activities will include providing commentary on proposed FASB and IASB standards and assisting members in implementing them when issued. The committee will continue to encourage FASB to undertake the projects necessary to improve financial reporting.