What is the primary function of the SEC in relation to accounting?

The primary function of the SEC, or Securities and Exchange Commission, is to protect investors and maintain fair, orderly, and efficient markets. This role is pivotal in ensuring that publicly traded companies provide transparent and accurate financial information, which allows investors to make informed decisions.

Through its regulatory powers, the SEC enforces securities laws, which include requiring companies to disclose financial statements and information about their business operations. This helps to prevent fraud and establishes a level of accountability, fostering trust in the financial markets. The SEC's oversight is essential for maintaining the integrity of the capital markets and ensuring that all investors, regardless of their financial knowledge or resources, have access to the same information.

While other options reflect relevant areas within the broader scope of accounting and regulation, they do not capture the SEC's primary mission. For instance, regulating income tax collection relates to the Internal Revenue Service (IRS), and developing educational resources primarily falls under the purview of educational institutions. Additionally, providing a framework for international accounting practices is typically addressed by organizations such as the International Financial Reporting Standards (IFRS) and does not fall under the direct responsibilities of the SEC.