The Comparative Study Of Fair Value Accounting And Accounting For Price Changes

Volatility in today's market prices, commodity price changes in the economic development is inevitable, new accounting standards does not require changes in the price, but the introduction of a fair value measurement attributes play a role in this regard. In measuring fair value, price changes, has become a key element, it is because it is often close to the market price at that time. To reflect the fair value of price changes on the poor results due to the time factor caused by measuring assets. Target price changes of accounting is to reflect price changes and eliminate its impact on a variety of financial information, the use of a certain extent, may affect the fair value accounting Excluding price changes. Fair value accounting and accounting for price changes, price changes during a business decision to bring useful information, because of the lack of market research, is not entirely under fair value accounting and their own imperfect situation, the study of price change in accounting has some value. The current is not entirely fair value accounting model, Based on this background to fair value accounting and accounting for price changes by comparing the current accounting model to provide some reference, in order to improve the existing accounting model.In this paper, to use the theoretical basis of fair value accounting and accounting for price changes in the decision usefulness, accounting information relevance, the theory of capital preservation, and a combination of both its own characteristics analysis of fair value accounting and accounting for price changes in comparison to the confirmation, confirmation standard, confirm foundations are similar, and some aspects of the elements to confirm the differences, since the purchasing power of money changes in price changes occur, price changes accounting recognizes the losses of purchasing power of monetary items in the income statement, for the subsequent changes in the value of assets or liabilities that fair value accounting recognizes impairment losses on assets, changes in fair value gains and losses, and other capital reserves, and accounting for price changes recognizes it as the losses of holding the production, and based on difference of preservation of capital to income statement and balance sheet; then describes the comparison of measurement and accounting of fair value accounting and accounting for price changes, the measurement unit of fair value accounting is nominal monetary unit,and accounting for price changes includes nominal monetary unit, general purchasing power unit; fair value accounting measurement attribute is fair value, accounting for price changes measurement attributes is historical cost and current cost; price changes for accounting model includes the general price level accounting, the current cost accounting, the current cost / currency equivalent accounting model, and fair value accounting model and current cost accounting model is similar; finally describes the comparison of report of accounting of fair value accounting and accounting for price changes, mainly compare report form, due to the adjustment of the general price index for the balance sheet,the value of assets of fair value accounting and accounting for price changes is different; for the income statement, both net profit, the income tax is different, and accounting for price changes also needs to prepare the purchasing power of monetary items in the income statement.By studying the comparison of fair value accounting and accounting for price changes in recognition, measurement, reporting, analysis the relationship between the two. Aiming at the problems of the fair value accounting of learning accounting for price changes certain problem-solving methods and ideas,and put forward some suggestions for improvement of the current accounting model, provide valuable information, and thus improve the existing incomplete fair value accounting model which has a certain significance.