Which agency oversees U.S. financial markets and accounting standard-setting bodies?

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Multiple Choice

Which agency oversees U.S. financial markets and accounting standard-setting bodies?

Explanation:
The key idea is which agency governs the money markets and the rules for financial reporting. The Securities and Exchange Commission oversees U.S. financial markets—regulating stock exchanges, brokers and dealers, and the disclosures that public companies must file. It also works with the financial accounting standard-setters, requiring that companies follow U.S. GAAP for their financial statements, with the Financial Accounting Standards Board (FASB) setting those standards and the SEC enforcing them for public companies. The other options serve different purposes: bank deposit insurance, a regional utility, and a New Deal public works program. So this agency is the one that best fits overseeing both markets and accounting standards.

The key idea is which agency governs the money markets and the rules for financial reporting. The Securities and Exchange Commission oversees U.S. financial markets—regulating stock exchanges, brokers and dealers, and the disclosures that public companies must file. It also works with the financial accounting standard-setters, requiring that companies follow U.S. GAAP for their financial statements, with the Financial Accounting Standards Board (FASB) setting those standards and the SEC enforcing them for public companies. The other options serve different purposes: bank deposit insurance, a regional utility, and a New Deal public works program. So this agency is the one that best fits overseeing both markets and accounting standards.

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