The date at which fair value is determined is known as the:
A)measurement date.
B)settlement date.
C)transaction date.
D)exchange date.

Question

Quizplus · Accepted Answer

The date at which fair value is determined is known as the measurement date. This is the date at which the assets or liabilities are valued based on market conditions, expected cash flows, and similar factors. The measurement date is important for financial reporting purposes and helps ensure that financial statements accurately reflect the value of assets and liabilities at a particular point in time. Settlement date refers to when the transaction is completed, transaction date is when the agreement to buy or sell is made, and exchange date refers to when the assets are exchanged. None of these terms are specifically related to fair value measurement.

The Date at Which Fair Value Is Determined Is Known