Fair Value Measurement as a Challenge for the Accounting Standard Setting Process

摘要

This paper contributes to the debate on fair value measurements by clarifying the current state of accounting regulations in the international arena. The study is organized so that it allows the analysis of the accounting standard setting process in the area of fair value measurement up until the current status. Following a brief introduction to the fair value measurement area, the literature review section revises similar papers focusing on fair value measurement from an accounting regulation perspective. Establishing the current state of accounting regulations in the international arena approaching fair value measurements was done by using content analysis of IFRS and US GAAP. The obtained results are further discussed in terms of their impact upon the corporate financial reporting process. Current main differences between IFRS and US GAAP in terms of fair value measurement guidance are synthesized and discussed. Concluding upon the developed analysis, we might state that the two Boards have reached significant convergence in the area of fair value measurement through the newly issued IFRS 13 being largely consistent with SFAS 157 (nowadays Topic 820). Furthermore, fair value differences coming from the other IASB and FASB standards addressing the use of fair values are also briefly discussed.