The Fair Value Of Applied Research In China

With the development of the economy, there are more and more financial instruments. It is a challenge for original cost which can't match the accounting report users' requirement. In the new accounting standard which was issued in 2006, fair value measurement attribute has been used in the accounting calculation. It is not only according with the mainstream of the international accounting development, but also fit to the economy.Under this background, this paper use the way of criterion research. Firstly introduce theory of fair value, which include concept of fair value in China and abroad, character of fair value and the relation between fair value and other measurement attributes. Combine existing difficulty to measure fair value, this paper analyze three way of measurement. Focus on relation between fair value and other measurement attributes, and bring forward broad sense and narrow sense of fair value.Then we look back the fair value development in China and introduce how to use it in new accounting standard. Take the "Real property investment", "Debt restructuring standard", "none -monetary asset swap", and "Short term investment" as examples. We discuss the fair value impacts on the financial and management performances.At last fair value measurement will bring many problems. For example, uncertainty factors in the fair value measurement increase the probability of the earning management, we can't get fair value on time although there is active market, costs are too high, etc.In order to change this situation, we must go on studying the theory of the fair value measurement, make up the fair value principle, consolidate the process of the standard implement, and establish the fair value audit system. Improve on above aspects, fair value can be implemented successfully.