The chair of the FASB at one time noted that “the flow of standards can only be slowed if (1) producers focus less on quarterly earnings per share and tax benefits and more on quality products,and

(2) accountants and lawyers rely less on rules and law and more on professional judgement and conduct.” Explain his comment.

FASB is a non-profitorganization that sets financial and reporting standards for public and private organizations. They go on to research, analyze, make changes as per the opinions of the public and stakeholders, and then set the standards. The standards are issued and then approved by the SEC and finally implemented.

• Quality products mean how well a product satisfies customers and their needs by meeting the industry standards. When a company evaluates the quality of a product, it considers certain things like whether the product solves the problem, works efficiently, or servesthe customer’s purpose.
• When acompany produces quality products in a cost-efficient way, its customer base expands, resulting in a good reputation forthe company. This, in turn, will improve the company`sstability and profitability position.

• Accountants are generally the professionals who provide accounting and financial services to their clients
• Lawyers are the legal professionals who provide various services to clients such as conducting lawsuits, advice on legal rights and obligations, etc.

• When producers focus lesson earnings per share and tax benefits & more on the quality of products sinceproducers’ main aimis the maximization of profits.
• When accountants and lawyers rely less on rules & regulations and more on professional judgment& conduct sincejudgment can be based on individuals’perspectivesand situations but rules & regulations are sameand standard forall. However, when needed,it’sthe choice of professionals to give service in an unbiased way by not going beyond rules and laws.