The FASB has set a hierarchy of inputs to consider in assessing fair value. Price taken from a recent trade on the NIKKEI of an index stock would fall under which level?
A) Level 0.
B) Level 1.
C) Level 2.
D) Level 3.

Question

Quizplus · Accepted Answer

Price taken from a recent trade on the NIKKEI of an index stock would fall under Level 1, which consists of quoted prices in active markets for identical assets.

The FASB Has Set a Hierarchy of Inputs to Consider