Accounting Principles Board - APB


DEFINITION of 'Accounting Principles Board - APB'

The prior authoritative body of the American Institute of Certified Public Accountants (AICPA). Formed by the American Institute of Certified Public Accountants in 1959, the Accounting Principles Board was replaced in 1973 by the Financial Accounting Standards Board (FASB). The purpose of the Accounting Principles Board was to issue pronouncements on accounting principles. Nineteen of the opinions released by the Accounting Principles Board still stand as part of the Generally Accepted Accounting Principles (GAAP).

BREAKING DOWN 'Accounting Principles Board - APB'

Between 1959 and 1973, the Accounting Principles Board was charged with creating accounting standards and issuing pronouncements related to accounting theory and practice. Unable to operate independently from the United States government, the Accounting Principles Board was dissolved to allow the smaller, fully-independent Financial Accounting Standards Board to operate more effectively.

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  3. What is a profit and loss (P&L) statement and why do companies publish them?

    A profit and loss (P&L) statement, or balance sheet, is essentially a snapshot of a company's financial activity for ... Read Full Answer >>
  4. How do dividends affect the balance sheet?

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  5. Are dividends considered an expense?

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