A new chapter in the controversy over fair value measurements: the controversy surrounding FAS 157, Fair Value Measurements, may be far from over. Following the release of the fair value guidance, FASB is being lauded by some and criticized by others for allegedly failing to follow due process and for 'easing' the fair value rules.

Catalyst (Dublin, Ohio) › Nbr. 2009, January 2009

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Issue UPDATE

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A new chapter in the controversy over fair value measurements: the controversy surrounding FAS 157, Fair Value Measurements, may be far from over. Following the release of the fair value guidance, FASB is being lauded by some and criticized by others for allegedly failing to follow due process and for 'easing' the fair value rules.

The accounting standard became the center of debate when valuation methods that work in typical markets were challenged for unintended consequences in illiquid or irregular markets. Some say these consequences partially caused the recent market failures. While many criticize the long-term cost of viewing accounting rules a...

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