Financial Standards Accounting Board, the governing board that develops the accounting standards for nongovernmental organizations, including rules, procedures, and applications. Taken as a whole, FASB Standards define what is acceptable practice in the accounting profession and are therefore referred to as Generally Accepted Accounting Principles, or GAAP. “Two key FASB pronouncements regarding nonprofit financial statements are Financial Accounting Standards 116 and 117, issued by FASB in 1993.”