With the development of accounting measurement theory, accounting measurement methods are constantly improving. Although any other measurement attribute is unlikely to completely replace the historical cost basis of accounting in the near future, fair value measurement is becoming more and more important in accounting measurement, which can be clearly felt from the new accounting standards. This paper makes some shallow analysis on fair value accounting measurement.

First, the basic understanding of accounting measurement model

(A) the meaning of accounting measurement

Accounting measurement is the process of determining the internal quantitative relationship between projects or events through quantitative relationship and allocating the amount to specific events. That is to say, in enterprise accounting, the internal quantitative relationship of accounting objects is measured, calculated and determined, which can be transformed into financial information and other related economic information that can be expressed in money, thus reflecting the financial situation and operating results of enterprises in a centralized and comprehensive way. The views that "accounting itself is a measurement process" and "accounting measurement is the core function of accounting system" have always been popular in western accounting circles. K.S. Most, a famous American accountant, believes that accounting measurement mainly consists of two factors: the nature (or attribute) that must be quantified and the measurement scale used to quantify the nature (or attribute). That is, a complete accounting measurement model, in addition to the measurement object, also includes two elements: measurement attribute and measurement unit.

(B) Accounting measurement model and its choice

1. The meaning of accounting measurement mode. The accounting measurement model consists of different accounting measurement attributes and different accounting measurement unit combinations. Measurement attribute refers to the measurable characteristics or external performance of the measured object. The idea of measurement attribute is discussed in detail in the No.5 financial accounting concept announcement "Confirmation and measurement of enterprise financial statements" issued by FASB of the United States in 1984. The recognized measurement attributes are historical cost, current cost, current market price, net realizable value and present value of future cash flow. The basis of fair value measurement refers to the voluntary transaction amount between rational parties in an open and undisturbed market, which can be expressed by the current market price or the present value of future cash flow. The unit of measurement refers to the standard measurement used by the measurement object when measuring an attribute. Optional units of measurement are nominal monetary units and general purchasing power monetary units. Historical cost/nominal monetary unit and historical cost/general purchasing power unit can be obtained by combining the above two units of measurement and five measurement attributes; There are 10 accounting measurement models, such as present value of future cash inflow/nominal monetary unit, present value of future cash inflow/general purchasing power unit, etc.

2. Factors affecting the choice of accounting measurement mode. (1) Economic benefit factors. Because accounting measurement directly affects accounting information, accounting information represents a certain economic interest relationship. Therefore, for their own economic interests, various stakeholders will inevitably directly or indirectly influence or even interfere in the formulation process of accounting standards in various ways, and then affect the choice of measurement models and methods. (2) Economic and environmental factors. The influence of economic environment on accounting measurement mode is manifested in many aspects. For example, in an economic environment with stable prices, historical cost is usually needed to measure, and accounting data has high reliability; However, when the price changes continuously and fluctuates greatly, especially in the period of hyperinflation, the measurement attribute that can reflect the price change should be adopted. Another example is that in the case of stable economic environment and low competitive pressure, the requirements for the principle of conservatism are not high; On the contrary, when the economic development fluctuates greatly and the uncertainty and risk are strong, the principle of conservatism is needed in practice. With the continuous emergence and innovation of financial instruments and the increasing financial assets and liabilities of enterprises, the defects of historical cost measurement attributes are becoming more and more obvious, so it is imperative to adopt new measurement attributes such as fair value. (3) Technological development factors. The popularity of the Internet makes the exchange of information faster. Fair value measurement no longer stays in the theoretical research stage, but its application has turned around in technology. In addition, with the help of advanced mathematical operation tools, the depreciation of fixed assets and the amortization of bond premium (discount) can be measured more accurately, which greatly improves the relevance and reliability of financial information. Modern science and technology have promoted the development of accounting measurement methods. (4) Factors of the development level of accounting profession. If the development level of the accounting system itself is not high and the quality of accounting personnel is low, it is impossible to require a complex measurement model in practice. (5) accounting objective factors. It mainly refers to whether accounting information meets the fiduciary responsibility goal or the decision-making useful goal. The former requires the accounting measurement model to provide objective information reflecting the management's performance of entrusted responsibilities. The latter requires that accounting measurement model can provide useful information for information users' decision-making.

Second, the meaning of fair value and its measurement

(A) the meaning of fair value

Fair value refers to the purchase, sale or settlement amount of assets or liabilities when they are currently traded between two voluntary parties, rather than forced sales. Its greatest feature is that it comes from a fair market, and it is the * * * knowledge obtained by rational parties involved in market transactions after fully considering market information. The market transaction price that reaches * * * knowledge (consistency) is the allowable value. We can understand it from the following aspects:

1. Although fair value can only be generated in a fair and undisturbed market, if there is no evidence to the contrary to prove that the transaction is unfair or involuntary, the market transaction price is fair value.

2. The value of the measurement object is not realized in the market, but is formed by the subjective value judgment of other different subjects, which cannot be regarded as fair value, because the value information obtained by different subjects lacks comparability.

3. If some things are not actually traded, we can look for similar transaction prices in the market as the measurement basis of their fair value.

4. Sometimes we can't find a similar transaction price in the market, so we must estimate the relevant measurement attributes on an appropriate and reasonable basis, unless there is evidence to the contrary in the market to prove that the estimation is correct.

(2) Measurement of fair value

1. Generally, the most consistent definition of fair value is market price. Just because fair value is the exchange price reached voluntarily by rational parties, the decisive factor is not whether the business happens or not, but that a value will be formed by the agreement between the two parties, so fair value is most suitable for the rights and obligations arising from quantitative finance instruments, especially derivatives such as futures, options and forward contracts. This is because many transactions and events of financial instruments have not actually happened, the rights and obligations of both parties to the contract have not been fulfilled, and there is no possibility of historical cost. It is difficult for traditional accounting to measure it. Using fair value, that is, the current market transaction price measurement, can solve this problem. In addition, the main business income, other business income, non-operating income, etc. It is also measured according to the current market price reached by the buyer and the seller, that is, fair value, and the inventory part is measured at fair value according to the lower method of cost and market price.

2. When the accountant cannot obtain the observable market amount, it can be measured by the present value of future cash flow. The measurement of present value can better reflect various factors that form fair value, including the estimation of future cash flow, the expectation of various possible changes in the amount and time of cash flow, the time value of money expressed by interest rate, the uncertainty contained in the price of assets or liabilities and other difficult-to-identify factors. Therefore, present value measurement plays a very important role in fair value measurement.

Third, the fair value measurement model analysis

As a new measurement model, fair value has its own advantages from the perspective of correlation. It is consistent with the useful accounting objectives of decision-making, especially in the case of an efficient market, and can provide relevant accounting information. However, its shortcomings are also obvious. As mentioned above, the determination of fair value has great uncertainty, which provides convenience for human manipulation. At this point, we can look at the following aspects:

Reliability of information quality. Choosing fair value measurement mode as the purpose and means of accounting measurement is a fuzzy measurement concept with uncertainty, variability and aggregation. Compared with the objective, definite and verifiable historical cost measurement model based on facts, although more relevant information can be provided in financial reports, it is uncertain to what extent the quality requirements of reliability can be improved or at least not weakened.

Predictability of market environment. Fair value is confirmed through the market, but the market environment is complex and changeable. Some accounting elements or accounting items can confirm or look for similar market transaction prices, while others can only be estimated, especially long-term accounts receivable and payable, which are difficult to grasp in the predictability of the market environment.

Consistency of enterprise subject measurement. The determination of the value of some accounting elements or accounting events by enterprise entities is usually based on the measurement (estimation) of their future income (or loss) and uncertainty, rather than through market transactions. This kind of value information is generally more helpful to investors' pre-decision, that is, it can provide more useful information for enterprise management, but it is often not completely consistent with its fair value.

Difficulties in measuring fair value. Many accounting elements, such as assets and liabilities, are difficult to find observable transaction prices in the market. Converting future cash flow into present value measurement at a certain discount rate often becomes an important technical means of fair value measurement. However, due to the uncertainty of the amount, time and time value of future cash flows, it is often very difficult to measure them, so the complexity of present value measurement is also a difficulty in the application of fair value measurement model.

In a word, there are many puzzles in the attribute and application of fair value accounting measurement mode, and the factors affecting the choice of accounting measurement mode are complex. Different accounting elements have different characteristics and different requirements for measurement attributes, so it is impossible to measure all accounting elements or accounting items with fair value. Therefore, with the development of economic globalization and the continuous improvement of accounting system, China's economy is gradually in line with internationally recognized measurement methods. A natural choice is to learn from each other's strengths, coexist and prosper together, and choose the corresponding measurement mode at the right time. Therefore, the coexistence of multiple measurement modes will be a trend.