This PwC guide helps reporting entities meet the challenges of applying the key accounting and reporting standards under both U.S. GAAP and IFRS related to fair value measurements, ASC 820, and IFRS 13.
Fair value accounting continues to be a topic of significant interest and debate. With unprecedented market events, turmoil in the credit markets and a downturn in the global economy in recent years, discussion of fair value has intensified among the preparers and users of financial information. This discussion has made clear the need for consistent fair value measurements in a global market. To that end, the FASB and IASB have primarily converged the fair value measurement and disclosure guidance through the issuance in May 2011 of Accounting Standards Update 2011-4, which amends ASC 820, and IFRS 13. The fair value standards, the focus of this guide, are principles-based standards that, with few exceptions, impact all fair value measurements in a reporting entity’s financial statements. This guide helps reporting entities meet the challenges of applying the key accounting and reporting standards under both U.S. Generally Accepted Accounting Principles (U.S. GAAP) and International Financial Reporting Standards (IFRS) related to fair value measurements, Accounting Standards Codification 820, Fair Value Measurement (ASC 820) and IFRS 13, Fair Value Measurement (IFRS 13).