A year of challenge and change for the FASB

Paramount among the many lessons to be learned from the reporting scandals and their wider impact on the investigating public and the capital markets is that neutrality in financial reporting really matters. Neutrality matters not only to the viability of individual companies and the financial well being of their employees, investors, and creditors, but also to the overall stability and vitality of the capital markets and, therefore, to the economy and the society. This article looks back on the past year and reflects on the many challenges the accounting profession faced and looks forward as they attempt to chart the future course of US accounting standard setting.