Test Urself for FAR570

​ Fair value is defined as the price that would be received to sell an __________ or paid to transfer a ________ in an _________ between _________ at the current measurement. ​

• Orderly transaction, asset, liability, market participants

• Liability, asset, orderly transaction, market participants

• Asset, liability, market participants, orderly transaction

• Market participants, asset, liability, orderly transaction

The characteristics of market participants are as follows, EXCEPT

• Knowledgeable
• Independent

• Willingness

• Recognisable

Fair value is _______________ measurement and it is not _______________ measurement.

• Market based, entity specific

• Entity specific, market based

Fair value of an asset or liability has to be determined by the following factors:

• Price

• Characteristics

• Market

• Economic benefits

The fair value of ____________ is based on the highest and best use of the asset as determined by the market participants.

The fair value of __________ is based on its market price at year end.

The Malaysian Financial Reporting Standard (MFRS) that provides guidance on how to measure

fair value refer to:

• MFRS 3

• MFRS 13

• MFRS 113

• MFRS 131

To measure an asset or liability at fair value encompasses various factors given below EXCEPT:

• the characteristics of the assets and liabilities

• the nature of the transactions

• the profile of the company that own the asset and liability

• the price is observable or not

The one that has the greatest volume and level of activity for the particular asset or liability that can

be accessed by the entity”. This statement refers to

• Target market

• Principal market

• Fair value market

• Trading market

The use of the asset in ‘highest and best use’ is constrained by all the items provided EXCEPT:

• Physically possible

• Profile of the entity that own the asset

• Legally permissible

• Financially feasible