Catalogue

Description

This course will be an overview of:

How different definitions and guidance in the measurement of fair value contribute to added complexity in generally accepted accounting principles (US GAAP).
How practical insight into fair value measurements can help bring transparency and accuracy to an organizations financial statements.

After completing this course, the learner should be able to:

• Recognize the objectives of ASC 820.
• Identify the definition of fair value (ASC 820).
• Define and recognize various considerations/principles related to fair value, including:
  • Market-based measures vs. entity-based measures;
  • Exit price vs. entry price;
  • Market participants;
  • Orderly transactions;
  • Highest use/principal market vs. most advantageous market;
  • Transaction costs;
  • Transportation costs;
  • Readily determinable fair value for certain investments;
  • Recognize the three available techniques for measuring fair value;
  • Recognize reasons for and the multiple levels within the fair value hierarchy;
  • Identify the reporting requirements under ASC 820.