Tug of war – New regulation aims to prevent valuation disputes
Abstract: Determining the fair value of a company can be cause for contention between buyers and sellers. To prevent discord during M&A deal negotiations, sellers need to understand how their company will be valued. This includes knowledge about recent fair-value accounting regulatory changes. This article examines International Financial Reporting Standard No. 13 (IFRS 13), which provides more detailed guidance on measuring an asset’s fair value.