Financial Accounting Research System (FARS) Essay

375 WordsFeb 10, 20092 Pages
The Financial Accounting Research System (FARS) is a system that contains six different databases that provide accountants’ access to official guidance to Generally Accepted Accounting Principles (GAAP). The purpose of FARS is to give accountants an effective and efficient way to research accounting literature that is up to date. It also helps to ensure data accuracy will all of the different accounting standards and laws. The FARS is beneficial to the accounting profession being a major database to search for all needed information. Without this type of database, accountants would be forced with searching many different databases with the possibility of coming up with conflicting and/or inaccurate information. There are six databases located in FARS. These databases include: 1. Original Pronouncements – Includes FASB and AICPA pronouncements. 2. Original Pronouncements, As Amended – Including Implementation Guides and FASB Staff Positions. Contains all currently effective AICPA and FASB pronouncements as they have been amended. 3. Current Text – Contains the General Standards, Industry Standards, and an appendix listing current AICPA Practice Bulletins, Statements of Position, and Audit and Accounting Guides. 4. EITF Abstracts – Includes the full text of each abstract for every issue discussed by the Emerging Issues Task Force since its inception. 5. Comprehensive Topical Index – The combined topical index for the Amended, Current Text, and EITF infobases. 6. Derivatives Codification – Provided as an aid to implementing FASB Statement 133 which presents Statement 133 as amended though May 2003. (Financial Accounting Standards Board, 2008) There are currently 163 Statements of Financial Accounting created by the Financial Accounting Standards Board (FASB). These statements are issued to provide clarification of certain accounting procedures and to improve

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