CAP and APB were accounting boards that ended due to the increasing influence of invested groups, referred as politicalization.
CAP was a committee formed to resolve specific accounting problems and topics as a response to the 1929 financial crisis. However, members were part time and had to hold AICPA memberships; which questioned their independence and prevented many investors, academics and financial executives from serving on the committee.
Because of this, the APB was formed; developed with board members from primarily the accounting profession but also with individuals from industry, government, and academia, in order to have a better representation of those specific groups. However, the APB’s independence was also questioned; each member was responsible to their respective employers and were thought to be looking out for their own respective interests.
The FASB is different in that all members are independent of other businesses and are paid full time employees.
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