• Fair Value Unlocked_ Decoding Market Prices, Exit Strategies, and the Hierarchy That Matters

  • May 8 2025
  • Durée: 7 min
  • Podcast

Fair Value Unlocked_ Decoding Market Prices, Exit Strategies, and the Hierarchy That Matters

  • Résumé

  • 📝 Overview:
    This episode takes you deeper into the world of fair value measurements by focusing on how assets and liabilities are priced based on market data, exit strategies, and the fair value hierarchy outlined in U.S. GAAP.

    We unpack what it really means to use fair value—not just as a number, but as a framework for measuring what matters to investors, regulators, and auditors.

    🔍 Key Topics Covered:

    • Exit price concept: Why fair value reflects the price you'd get to sell, not buy

    • Market participant assumptions: Who are they, and why do they matter?

    • The three levels of the fair value hierarchy (Levels 1–3)

    • Real-world examples of applying fair value to assets and liabilities

    🎯 Who Should Listen:

    • CPA and accounting exam candidates (especially FAR)

    • Valuation professionals, analysts, and auditors

    • Anyone who wants to understand how “value” is defined in the real world

    💡 What You’ll Learn:
    By the end of this episode, you’ll know how to navigate the fair value hierarchy, understand the difference between observable and unobservable inputs, and apply these concepts in financial reporting or exam prep.

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