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Focus on improving disclosures 

Measuring fair value can present significant challenges for preparers of financial statements, particularly because it involves using judgement and estimation. 

Under both IFRS Standards and US GAAP, the standards establish a framework for measuring fair value and required disclosures. They do not specify when fair value is required or permitted, but provide guidance on how it is measured. 

This is an area in which IFRS Standards and US GAAP are substantially converged. However, recent changes to certain fair value disclosure requirements under US GAAP have created some further differences. 

The fourth edition of Fair Value Measurement: Questions and Answers (PDF 1.8 MB) provides our insight and guidance on applying the standards and highlights the key differences, including the new disclosure requirements.