Answer
Common set of standards in financial accounting and reporting is of crucial importance since it brings about a uniform and trusted way through which financial documents are prepared in good faith and as a result they are comparable to one another when contrasting financial documents of different organizations.
Work Step by Step
Additionally, this is to say without the common set of standards in financial accounting and reporting, investments, business and the economy in general would suffer since enterprises would develop their own theory structures as well a set of practices thus resulting to non-comparability among businesses.
