The FASB has set a hierarchy of inputs to consider in assessing fair value.Which of the following valuations are generally viewed as the most subjective?
A)Level 0.
B)Level 1.
C)Level 2.
D)Level 3.

Question

Quizplus · Accepted Answer

Level 3 valuations are generally viewed as the most subjective as they rely heavily on unobservable inputs, such as management assumptions and market data that may not be readily available. This makes the valuation process more complex and potentially more prone to error or bias.

The FASB Has Set a Hierarchy of Inputs to Consider