A Step Forward For The Valuation Community: SFAS 157 And Fair Value Measurements: An Important New Standard In The Valuation Of Assets For Financial Reporting

by Chris Bakewell and Bryan Benoit

Chris Bakewell

Bryan Benoit

Abstract: The U.S. continues to move towards being a knowledge-based economy. However, corporate balance sheets still only present asset values at a given moment in time, and intangible asset values are often not disclosed. A recent accounting pronouncement, SFAS 157, requires more detail and is an important step towards more meaningful presentation of the value of companies’ assets. However, analysis and reconciliation will still be required, particularly for intangible assets.


Anybody who has ever bought or sold a car knows that perceptions of value can differ among a range of possible buyers. Certainly, those that have traded in a car for less than they thought the car was worth sorely understand this concept. Likewise, in the financial world, there are multiple measures and perspectives on value

Read the Full Article:

Full articles are available only to LESI Members. Please login to view the PDF of this Les Nouvelles Article. 

Not an LESI member? Find out how to join your regional LES society and gain access to all that your LES society and LESI has to offer.