The Research On Value Relevance Of Fair Value Layered Measurement

After the outbreak of the international financial crisis in2008, arousing question, fairvalue becomes the world’s attention. The international accounting standards board issued thethe international financial reporting standards---fair value measurement Number13,2011,referring to some new requests. With the development of economy and criterion issued formany years at the same time, the standards has been unable to formulate its objectivemeasurement and disclosure, in order to be more effective application for fair value, it isnecessary for fair value related accounting rules, to adapt to the current situation of thedevelopment of market economy in our country. On January26,2014,the ministry of financeput forward the accounting standards for enterprises no.39-----fair value measurement,referring to a new definition of fair value, the fair value is the market participants inmetrology, orderly trading, or selling an asset received in a liability to pay the price, theprice to sell. The standard also required that fair value measurement used in themeasurement of input value can be divided into three levels, and is suitable for variousdisclosure requirements, in order to enhance comparability of the fair value measurementand disclosure. Request pointed out using the value of the first-level-input, second use of thesecond-level, the third level is used lastly. The first level of the input value refers to themeasurement, can achieve the same asset or liability without adjustment in the active marketquotation, and the so-called active market refers to the transactions in the relevant assets orliabilities and reading frequency is enough to continue to provide pricing information market;The second-level-input value is to point to in addition to the value of the first level inputrelated assets or liabilities directly or indirectly observation input value; Thethird-level-input value is related assets and liabilities not observed. Promulgation andimplementation of the standard has the vital significance that to maintain our countryenterprise accounting standards and international financial reporting standards convergence.Meanwhile, it shows that China’s accounting standards with international accountingstandards convergence of substantive progress, also reflects China’s international convergence of accounting standards implementation of confidence and determination. Asthe fair value accounting job attribute correlation, value relevant has strong and weak pointswith varying degrees of the active market. So the layered measurement in China’s marketeconomy environment has any impact on the fair value relevance and whether corporategovernance under the layered measurement can improve the value relevance need furtherstudy.Based on the Shanghai and Shenzhen two city2009-2013financial listed companies assamples, the manual collection of fair value disclosures of stratification and the relevantvariables in the model of financial information, by adopting the combination of normativeanalysis and model test research methods, using price model to examine the value relevanceof value layered measurement. The study found that the input value reliability of fair value ishigher, the higher is the value of correlation, and the fair value of assets and liabilitiesaccounting to the first level is the highest reliability; Research also suggests that in fair valueof available for sale financial assets has strong value relevance, which is to explain the valueof the company has the strong ability, and according to the first level of fair value theinterpretation of the available for sale financial assets has the strongest ability; At the sametime, corporate governance has significant positive correlation with fair value function,significantly improved according to the first level of the fair value of the assets valuerelevance, referring that corporate governance is a reliable way to improve the fair valuerelevance. The practical significance of this study is to further study the application of fairvalue stratification measurement, as well as to improve the fair value relevance of corporategovernance problems, putting forward relevant policy suggestions for the problem whichfounded by the study, making the fair value layered measurement better application in ourcountry, for the application of fair value layered measurement in our country to provideevidence.