Generally Accepted Accounting Principles (GAAP) are
the conventions, rules, and procedures necessary to define accepted accounting practice at a particular time, includes both broad guidelines and relatively detailed practices and procedures.
(1) set of guidelines widely recognized as being generally accepted because of prevailing industry practice. (2) a common set of guidelines governing form and content of basic financial statements of an entity. (3) uniform minimum standards and guidelines for financial accounting and reporting governing form and content of financial statements of an entity. GAAP encompass the conventions, rules and procedures required to define accepted accounting practice at a particular time. They include broad guidelines of general application and detailed practices and procedures. GAAP provide a standard for measuring financial presentations. The primary authoritative body on applying GAAP to state and local governments is the Governmental Accounting Standards Board (GASB).