外文文献翻译

原文：

Fair Value Changes Ahead

The use of fair value in financial reporting is not new; it is required or permitted under many standards, some of which have been in place for decades. Yet, given its role in the asset write-downs and market volatility precipitated by the financial crisis， there has been considerable discussion and debate about the use of fair value in financial reporting. As the financial crisis has broadened, the debate has evolved into a global one involving not only FASB and its international counterpart, the International Accounting Standards Board (IASB), but also securities participants in the global capital markets. Responses to the financial crisis have focused on fair value accounting and have led to changes in the standards that will affect financial reporting going forward.

The Fair Value Debate

At the center of the fair value debate is SFAS 157, Fair Value Measurements, which went into effect for financial assets and liabilities in 2008. SFAS 157 clarifies that when fair value is used in financial reporting, the measurement should represent a current market price. SFAS 157 establishes a framework for determining fair value, but it does not specify when to use fair value. SFAS 157 and its current market price objective only apply when other standards require or permit the use of fair value. The reporting model in the United States (and abroad) is a mixed-attribute model that uses a combination of measurements, including historical cost, fair value, and other bases, such as lower of cost or fair value. The use of fair value has expanded in recent years. For example, more fair values are now required when accounting for a business combination under SFAS 141 (R), Business Combinations. In addition， companies have the option to voluntarily use fair value for certain financial items for which fair value is not otherwise required in specified circumstances under SFAS 159， The Fair Value Option for Financial Assets and Financial Liabilities. Nevertheless, fair value is still used most frequently for financial assets. But fair value is not always

used on an ongoing basis (mark-to-market); it often is used only when a financial asset is impaired. In today's distressed markets, many of the financial assets that trade in those markets (e.g., mortgage-related securities) are impaired.