The Financial Accounting Standards Board (“FASB”) is requesting input from stakeholders regarding FASB Statement No. 157, Fair Value Measurements, (“157”). 157 provides a single definition of fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements.
A Financial Accounting Foundation (FAF) review team found that some investors were struggling to understand the use of fair value information in financial statements and there was disagreement regarding the appropriate level of disclosures. In addition, some stakeholders complained about the cost of compliance.
As a result, FASB will further investigate ways to simplify and improve 157.