Speaking at the XBRL International Conference last week in Philadelphia, Chairman Robert Herz told the crowd that Financial Accounting Standard No. 157, Fair-Value Measurement, is meant to be “a new kind of standard … that acts more as a repository for what we mean by fair value,” since the concept crops up in multiple accounting standards. FASB promulgated FAS 157 earlier this year, prompting uncertainty from corporations about exactly how to value intangible assets such as intellectual property, or assets where no market naturally exists to determine a price.
