The document is considered the first result from the board's joint project on the conceptual framework. The objective of the project is outlined in their Memorandum of Understanding which was published in February 2006.

The publication of the board's joint preliminary views aims to reflect their shared commitment to build upon, improve and achieve the convergence of their existing conceptual framework.

The board assumes that the conceptual framework will lead to improving the foundation and concepts which underlie global financial reporting. Hoping that it will serve as more effective guide in developing global financial reporting standards.

David Tweedie, chairman of the IASB stated that the publication of the documents will play a role in guiding and developing the future of accounting and reporting standards.

"The ideas set out in the document published, are some of the most fundamental in accounting. We are therefore keen to receive views on these proposed enhancements as we work towards establishing more effective foundation" Tweedie said

Michael Crooch, a member of the FASB, pointed out that the common goal of the boards and our constituents is for standards to be based on consistent principles rooted in fundamental concepts, rather than a collection of conventions

The FASB has been the designated organization in the private sector in the US for establishing standards of financial accounting and reporting.

The IASB is committed to developing, public interest, a single set of high quality, global accounting standards that require transparent and comparable information in general purpose financial statement.

For more information please visit the following website: www.iasb.org