Fair Value Measurement

525 Indian Accounting Standard (Ind AS) 113 Fair Value Measurement (This Indian Accounting Standard includes paragraphs set in bold type and plain type, which have equal authority. Paragraphs in bold type indicate the main principles.) Objective 1 This Ind AS: (a) defines fair Value ; (b) sets out in a single Ind AS a framework for measuring fair Value ; and (c) requires disclosures about fair Value measurements. 2 Fair Value is a market-based Measurement , not an entity-specific Measurement . For some assets and liabilities, observable market transactions or market information might be available. For other assets and liabilities, observable market transactions and market information might not be available. However, the objective of a fair Value Measurement in both cases is the same to estimate the price at which an orderly transaction to sell the asset or to transfer the liability would take place between market participants at the Measurement date under current market conditions (ie an exit price at the Measurement date from the perspective of a market participant that holds the asset or owes the liability).

29 Highest and best use is determined from the perspective of market participants, even if the entity intends a different use. However, an entity's current use of a non-financial asset is presumed to be its highest and best use unless market or other factors suggest that a different use by market participants would maximise the value of the asset.

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