What organization established standards for the federal government?

The Federal Accounting Standards Advisory Board (FASAB) is responsible for establishing accounting standards specifically tailored to the needs of the federal government. Created in 1990, FASAB operates under the auspices of the American Institute of Certified Public Accountants (AICPA) and the Government Accountability Office (GAO). Its primary objective is to ensure that financial reporting by federal entities is transparent, consistent, and aligned with the goals of accountability and stewardship in governmental operations.

FASAB's standards provide the framework for the preparation of federal financial statements, guiding how federal agencies report their financial information so that it meets the needs of users, including Congress and the public. By developing these accounting standards, FASAB plays a vital role in improving the quality of federal financial reporting, thus enhancing public trust and enabling better decision-making.