A residential land in Caong Street, Makati City, purchased in 1977 with an acquisition cost of P106,800 and current market value
Country: Europe, Sector: Aerospace/DefenceTarget: EADS NVBuyer: KfW BankengruppeVendor: Daimler AGType: DivestmentStatus: AgreedComment: The stake's current market value
Investigations of the management of the LTCM account at several institutions found that an overreliance on the collateralization of the current market value
of derivatives positions and the stature of LTCM's managers led to compromises in several key elements of the credit-risk-management process.
The schedule contains the original cost of the investment, the current market value
of the investment, the current valuation allowance account balance needed to adjust the investment account to market, last year's valuation allowance account balance, this period's gains or losses and the accumulated gains and losses on the investments.
As a result, continuing to apply the original rate will no longer produce a useful estimate of current market value
Several valuation bases were described in the FASB DM, including the present value of future cash flows, the sum of undiscounted future cash flows, current market value
and net realizable value.
After all, a rational manager who cannot derive more value from internal use of an allowance will choose to sell it; thus current market value
is useful for management planning and control.
The conference, whose theme could be described as why the historical cost basis of accounting is no longer a relevant or reliable means of valuing a company's assets and liabilities, encouraged a shift to valuation based on current market value
(a method also referred to as mark-to-market).