<Li> Conservatism principle: when choosing between two solutions, the one which has the less favorable outcome is the solution which should be chosen (see convention of conservatism) </Li> <Li> Cost Constraint: The benefits of reporting financial information should justify and be greater than the costs imposed on supplying it . <Ul> <Li> </Li> </Ul> </Li> <P> Under the AICPA's Code of Professional Ethics under Rule 203--Accounting Principles, a member must depart from GAAP if following it would lead to a material misstatement on the financial statements, or otherwise be misleading . In the departure, the member must disclose, if practical, the reasons why compliance with the accounting principle would result in a misleading financial statement . Under Rule 203 - 1 - Departures from Established Accounting Principles, the departures are rare, and usually take place when there is new legislation, the evolution of new forms of business transactions, an unusual degree of materiality, or the existence of conflicting industry practices . </P> <P> These organizations influence the development of GAAP in the United States . </P>

Who approves the us standards and oversees the us financial markets