duction Fair value accounting and historical cost method are important measurements that equally have a place in the industry to be followed. Experts have examined whether fair value accounting is the cause of past economic disasters and if the historical cost would have been a more reasonable approach to prevent any catastrophes for financial users and reporters. We will discuss detailed concepts and comparisons involving fair value accounting and its impact. First, we will explain fair value accounting and historical cost methods while analyzing the strengths and weaknesses of both reporting methods. Second, if fair value accounting

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and historical cost methods are equally important why do experts debate their effectiveness and what are the key factors driving this debate Fair value accounting and the historical cost method are tw... View the full answer