Fair Value Flashcards
(27 cards)
FV hierarchy examples
How is fair value determined for financial assets in an active market
Identicalquoted prices is lvl 1, most reliable
Which fair value measurement approach is used when discounting future cash flows to determine value
What defines a transaction involving market participants for fair value reporting
What is market approach
How is fair value determined when no principal market exists
Which valuation technique is NOT used for fair value measurements in impairment testing
What is the GAAP definition of fair value for an asset or liability
How do you determine fair value when no principal market exists
Which fair value disclosure is NOT required under ASU 2018-13
A) Transfers between Level 1 and Level 2.
B) Valuation technique (market, income, cost).
C) Disposition of changes in fair value.
D) Uncertainty in fair value measurements.
How is the fair value option applied for financial instruments under GAAP
What are the MOST important characteristics of fair value measurement under GAAP
How is the fair value of restricted shares determined under the fair value hierarchy
What adjustments are made to an asset’s price for fair value measurement under GAAP
What are the disclosure requirements for fair value measurements in periods after initial recognition
What defines a principal market for determining the fair value of an asset
How do you calculate fair value when no principal market exists
How to evaluate statements about entry price and exit price differences in fair value problems
How is the fair value of a building determined when its carrying amount is impaired
What disclosures are required for fair value measurements in annual financial reports
What is the key assumption for fair value measurement of nonfinancial assets under ASC Topic 820?
What is the key assumption in fair value measurement
What is the market approach for determining fair value, and how does it differ from other valuation techniques
