priyanka
30-11-07, 05:46 AM
Historical cost accounting
When accountants’ record transactions at historical cost, that is the actual of money, or money’s worth, received or paid to complete the transaction.
Fair value (FV) / current cost
Fair value is the amount for which an asset could be exchanged, or a liability settled between knowledgeable, willing parties in an arm’s length transaction.
When accountants’ record transactions at historical cost, that is the actual of money, or money’s worth, received or paid to complete the transaction.
Fair value (FV) / current cost
Fair value is the amount for which an asset could be exchanged, or a liability settled between knowledgeable, willing parties in an arm’s length transaction.