Accounting Theory Assignment for August 26th ,2000 Chapter I Case 4 Answers: a. In my opinion , the change from CAP to APB to FASB is not the result of the increasing politicalization. As we all understand that the accounting system is updating according to the ever changing market and environment. So the accounting principles of which must keep up the pace so that it has the function of being the guidance. Just as the computer software, from …showed first 75 words of 400 total…

…showed last 75 words of 400 total…are material. But the APB met other problems too: such as the member of it are not full time which caused their performance of the duties of on APB became secondary; their response time is too slow ; the issue of the independence of the members of the APB, etc. With the growing criticism of the APB, two committees appointed by AICPA were formed in 1971: one is the Wheat committee which recommend the abolishion ------------------------------------------------------------------------ **Bibliography**