Highest and best use: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Incorporate market participants within the body of the page.) |
imported>Doug Williamson (Make wording clearer.) |
||
| Line 3: | Line 3: | ||
IFRS 13 Fair Value Measurement defines 'highest and best use' in relation to establishing fair values for non-financial assets and liabilities. | IFRS 13 Fair Value Measurement defines 'highest and best use' in relation to establishing fair values for non-financial assets and liabilities. | ||
In this context the measurement of the 'highest and best use' by market participants of the asset being valued takes into account the use of the asset that is: | In this context the measurement of the 'highest and best use' by market participants of the asset being valued takes into account the most advantageous use of the asset that is: | ||
*Physically possible | *Physically possible | ||
*Legally permissible and | *Legally permissible and | ||
Revision as of 14:43, 1 August 2015
Financial reporting - fair value.
IFRS 13 Fair Value Measurement defines 'highest and best use' in relation to establishing fair values for non-financial assets and liabilities.
In this context the measurement of the 'highest and best use' by market participants of the asset being valued takes into account the most advantageous use of the asset that is:
- Physically possible
- Legally permissible and
- Financially feasible.
