One political factor influencing the standard setting process is how the standard-setting bodies are financed. Which of the following is NOT an IASB principle regarding the nature and amount of funding?
A. Closed-loop: Financial commitments for funding should be contingent upon particular outcomes.
B. Broad-based: It should not rely on one or a few sources.
C. Compelling: Constituents should not be allowed to benefit from the standards without contributing to the process of standard setting.
D. Country-specific: Funding should be shared by the major economies on a proportionate basis.
Answer:A
One political factor influencing the standard setting process is how the standard-setting bodies are financed. Which of the following is NOT an IASB principle regarding the nature and amount of funding?
A. Closed-loop: Financial commitments for funding should be contingent upon particular outcomes. B. Broad-based: It should not rely on one or a few sources. C. Compelling: Constituents should not be allowed to benefit from the standards without contributing to the process of standard setting. D. Country-specific: Funding should be shared by the major economies on a proportionate basis.