Monetary Assets' Fair Value Measurement Research Under Financial Crisis

Along with 2007 US's loan crisis,it gradually evolved the financial crisis which engulfs the entire world. Regarding the financial organ which suffered the heavy losses.The fair value of loan monetary assets is the value of transactions on the financial markets. Therefore financial profession attribute the reason of financial crisis to the fair value of financial assets measured using this approach.This article mainly studied financial assets, particularly trading of financial assets and available-for-sale financial assets. whether it is appropriate to adopt fair value measurement.This article studied shareholder's equity difference adjustment table of A share of listed companies in the manufacturing sector in the 2006 annual report,fair value of the profit and loss and capital reserve-available for sale financial assets in 2007 and 2008 annual report.lt use improvement Ohlson's price model and the income model.By descriptive statistical analysis and empirical research,this article analyse and tests historical cost and fair value measurement, value relevance associated with the stock price as well as stock returns ratio with fair value of the profit and loss of trading of financial assets and available-for-sale financial assets. According to the findings, trading of financial assets and available-for-sale financial assets has remarkable value relevance using fair value measurement than using the historical cost; fair value of the profit and loss of trading of financial assets does not have a significant value relevance; the available-for-sale financial assets is same as trading of financial assets.Although this study showed no significant fair relevance using fair value measurement, we should look upon with the development of the financial crisis of the fair value measurement of financial assets. Fair value has a stable theoretical basis, regardless the serious extent of the financial crisis,the information in response to this measurement method is transparent and it maintenances policy-making decision right of the investors and the public.Use of fair value measurement of financial assets is still the future development trend. To make the economy more stable, what was most important was improvement and supervision of the market to enable the economic development to have a more effective environment.