49   ASC 820 FAIR VALUE MEASUREMENTS

Perspective and Issues

Subtopic

Scope and scope exceptions

Overview

The Debate over the Use of Fair Value Measurements

ASC 820, Fair Value Measurement

Technical Alert

ASU 2011-04

ASU 2013-09

Definitions of Terms

Concepts, Rules, and Examples

The Mixed Attribute Model

Objectives

Definition

Measurement Principles and Methodologies

Item identification and unit of account

Principal or most advantageous market and market participants

Selection of the valuation premise for asset measurements

Risk assumptions when valuing a liability

Inputs

Valuation techniques

Measurement considerations

Fair Value Disclosures

Objectives

PERSPECTIVE AND ISSUES

Subtopic

ASC 820 contains one subtopic:

  • ASC 820-10, Overall, which defines fair value, describes a framework for measuring fair value and details required disclosures.

Scope and Scope Exceptions

ASC 820 does not require fair value measurement in addition to those required by other Topics in the Codification.

Scope. In pursuing an incremental approach, ASC 820 contained scope exceptions for certain, highly-complex specialized applications. It does not apply to:

  1. Share-based payments transactions, except for transaction covered in ASC 718-40 which are within the scope of ASC 820
  2. Measurement that are similar to fair value but that are not intended to measure fair value, including:
    1. Measurements models that are based on vendor-specific objective evidence of fair value, such as multiple-deliverable arrangements ...

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