What is the role of FASB in accounting?

The Financial Accounting Standards Board (FASB) plays a crucial role in establishing and improving generally accepted accounting principles (GAAP) within the United States. Its primary responsibility is to create standards that govern the preparation of financial statements, ensuring that users, including investors and creditors, can rely on the financial information being presented. FASB aims to enhance the clarity and consistency of financial reporting, which facilitates better decision-making by stakeholders.

Since FASB's standards influence how transactions are recorded and reported, they are essential for maintaining transparency and trust in the financial markets. By setting these standards, FASB helps ensure that all companies are accountable and that their financial statements are comparable and understandable, which is vital for fair investment practices and economic stability.

The other options refer to different entities that do not have the same focus or authority in accounting standards development, highlighting the unique and specific role FASB occupies in the realm of financial accounting.