GAAP, Created by and GAAP Hierarchy Prior and after the Codification Process

What is GAAP :

According to Auditing Standards Board (ASB), AU Section 411, The phrase “generally accepted accounting principles” is a technical accounting term that encompasses the conventions, rules, and procedures necessary to define accepted accounting practice at a particular time. It includes not only broad guidelines of general application, but also detailed practices and procedures. Those conventions, rules, and procedures provide a standard by which to measure financial presentations.

In general "GAAP" means Generally Accepted Accounting Principles, the standards, rules and procedures that serve as the norm for the fair presentation of financial statements.

GAAP was created by

•          Committee on Accounting Procedure
•          Accounting Principles Board
•          Financial Accounting Standards Board
•          American Institute of Certified Public Accountants (AICPA)
•          Emerging Issues Task Force (EITF)
•          Other sources
•          Accounting Standards Codification

List of International Accounting Standards

List of International Accounting Standards adopted by the International Accounting Standards Board. The list shows the standard No, Name, when it was originally issued, when it came in to force and finally when it was withdrawn and superseded by.

List of IFRS

FASB Accounting Standards Codification Quick Reference Guide

Topics, Subtopics, and Sections

The FASB Accounting Standards Codification (ASC or the "Codification") organizes nongovernmental U.S. GAAP using a topic-based model consisting of 90 individual Topics. Each Topic contains at least one Subtopic. Subtopics contain Sections, which include the actual accounting guidance. Sections are based on the nature of the content (e.g., scope, recognition, measurement, etc.) and are standardized throughout the Codification.

Paragraphs

Each Section includes numbered Paragraphs. Paragraph numbers start with the Section number followed by the unique paragraph number. For example, in Section 55 the first paragraph is numbered 55-1. Paragraph numbers in the Codification will not change going forward. New paragraphs may result in the FASB using a letter extension in order to keep the numbering constant. For example, a new paragraph inserted between paragraphs 55-3 and 55-4 would be numbered 55-3A.

Accounting for Investments in Debt Securities

Debt securities represent a creditor relationship with another entity. Debt securities include government securities, municipal securities, corporate bonds, convertible debt, and commercial paper. 

Trade accounts receivable and loans receivable are not debt securities because they do not meet the definition of a security.

Companies categorize investments in debt securities into three separate categories for accounting and reporting purposes: