Financial Accounting Standards Board is responsible for which of the following?

The Financial Accounting Standards Board (FASB) is primarily known for its role in establishing financial reporting standards that govern how financial statements are prepared and presented. This responsibility is critical as it ensures consistency, transparency, and comparability in the financial reports of organizations across various industries. By setting these standards, the FASB helps maintain investor confidence and provides a framework that financial professionals can follow, fostering clarity and trustworthiness in financial communication.

In contrast, monitoring audit processes, developing tax regulations, and providing loans to businesses fall under the purview of different organizations and regulatory bodies. Audit processes are typically overseen by entities like the Public Company Accounting Oversight Board (PCAOB), while tax regulations are set by the Internal Revenue Service (IRS) or similar tax authorities. Providing loans is more associated with financial institutions and lenders rather than the FASB. Thus, establishing financial reporting standards is the area where the FASB has its primary focus and influence.