Valuation implications of FAS 159 reported gains and losses from fair value accounting for liabilities

• Main Authors: CHUNG, Sung Gon, LOBO, Gerald J., OW YONG, Keng Kevin
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2017
• Subjects: Fair Value Accounting; FAS 159 Liability Gains and Losses; Value Relevance; Market; Accounting; Corporate Finance
• Online Access: https://ink.library.smu.edu.sg/soa_research/1642; https://ink.library.smu.edu.sg/context/soa_research/article/2669/viewcontent/ValuationImplicationsFAS159_2017_wp.pdf
• Institution: Singapore Management University

This study examines the economic implications of fair value liability gains and losses arising from the adoption of Statement of Financial Accounting Standards No. 159 (hereafter, FAS 159). Consistent with the notion that gains and losses contain value-relevant information, we find a positive corres...