Fair value measurement continues to be one of the most judgment driven and highly scrutinized areas within financial reporting. This course provides a comprehensive and practical overview of the U.S. GAAP framework for fair value measurement under ASC 820, including valuation approaches, inputs, disclosures, and measurement considerations. Participants will explore the differences between valuation and measurement, understand how to apply the fair value hierarchy, and examine current issues arising from new FASB updates and evolving market conditions.
The program also reviews enhancements introduced by ASU 2019‑04 and highlights selected developments affecting fair value measurement in today’s environment. Through real world illustrations and clear guidance, this course equips accounting and auditing professionals with the technical foundation needed to properly apply fair value measurement principles and strengthen financial reporting quality.
Publication Date: March 2026
Designed For
This course is ideal for professionals involved in preparing, auditing, or analyzing fair value measurements.
Topics Covered
- Overview of ASC 820 fair value measurement principles
- Valuation approaches: market, income, and cost approaches
- Fair value hierarchy and classification of Level 1, Level 2, and Level 3 inputs
- ASC 820 disclosure requirements and presentation considerations
- Updates to FASB standards related to fair value, including ASU 2019‑04
- Matrix pricing and its use in valuation methodologies
- Emerging issues affecting fair value measurement, including market volatility and evolving valuation practices
Learning Objectives
- Explain the objectives and framework of U.S. GAAP fair value measurement
- Describe the concept of fair value and define key terminology used in ASC 820
- Differentiate among major valuation approaches and identify common valuation inputs
- Apply the fair value hierarchy and distinguish between Levels 1, 2, and 3 inputs
- Identify the basic disclosure requirements under ASC 820 for fair value measurements
- Determine which valuation approaches may incorporate matrix pricing techniques
- Evaluate selected implementation issues and updates affecting fair value measurement, including ASU 2019‑04
Level
Intermediate
Instructional Method
Self-Study
NASBA Field of Study
Accounting (2 hours)
Program Prerequisites
General understanding of fair value accounting
Advance Preparation
None
Instructor
Pat Patterson
Cecil Patterson, (Pat), CPA, MBA, is an award-winning, nationally recognized author, speaker, and discussion leader for continuing education courses and numerous state societies. He has experience at the local and national CPA-firm level and as an adjunct university professor.
Pat holds an MBA from the University of North Florida and is a CPA and owner of the firm of Cecil Patterson, CPA. His firm provides, accounting, tax preparation and tax planning services, wealth management services, and consulting for businesses and other professional firms.
Pat has served on the AICPA Council, the FICPA Council, and the FICPA Educational Foundation Board of Trustees.