Zeff (2018) describes the “special relationship” between the American Institute of Certified Public Accountants (AICPA) and the Financial Accounting Foundation (FAF) and the Financial Accounting Standards Board (FASB) during 1972–1980. In adopting the recommendations of the Wheat Study (AICPA 1972), the AICPA designed the structure and membership of the FAF and FASB so that they were functionally separate from the AICPA, but the AICPA could continue to strongly influence the operations of the FAF and FASB by providing substantial financial, personnel, and organizational support. Zeff describes the backgrounds and affiliations of individuals who were appointed as trustees of the FAF and members of the FASB, revealing the pervasive presence of AICPA members and leaders in the membership and leadership of the FAF and FASB. Zeff asks: How did the AICPA actually exercise that leverage? Did that leverage seem to affect the appearance of independence of the FAF and...
