Standard setting for financial reporting has been constantly changing and adapting to account for the new challenges and changes posed today by doing business in a fasted paced economy trending towards Globalization. Standards in America trace their history back to the American Institute of Certified Public Accountants (AICPA) which was founded over one hundred years ago in 1887 under the name of the American Association of Public Accountants. At the time the AICPA was formed accounting was still in its early stages of development and was not monitored or regulated by any one authoritative body. Little or no standards existed throughout the early 1900's and as a result management and accountants were left to their best judgment in recording and reporting their organizations financial information. As the developing world progressed Accounting became more complex and a more concrete financial reporting system was required.