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Essay specific features
Written by:
Clyde F
Date added:
February 3, 2015
Level:
University
Grade:
B
No of pages / words:
16 / 4397
Was viewed:
9727 times
Rating of current essay:
Essay content:
CONCLUSION…………………………………………………………..13
6. REFERENCES……………………………………………………………14
1. INTRODUCTION
Referring to wikipedia, “fair value, also called fair price, is a concept used in finance and economics, defined as a rational and unbiased estimate of the potential market price of a good, service, or asset, taking into account such factors as relative scarcity, risk characteristics, replacement costs, or costs of close substitutes, and production/distribution costs, including a cost of capital...
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So, a company may use market value as their fair value.
In accounting, fair value is used as an estimate of the market value of an asset (which a market price cannot be determined (usually because there is no established market for the asset). This is used for assets whose carrying value is based on mark-to-market valuations; for assets carried at historical cost, the fair value of the asset is not used...
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