The nominal price analysis of trading financial assets at fair value
Bayi Guan, Xuejie Wang, Zhanli Shang, Zhongquan Chen
Available Online August 2016.
- https://doi.org/10.2991/icassr-15.2016.282How to use a DOI?
- trading financial assets; fair value; recognition; nominal price; rationality
- Recognizing trading financial assets at their fair value facilitates quick transaction and convenient accounting, however, it causes uncertainty in terms of reasonable price, validity of market and involvement of investors. On some levels, the determination of fair value is subjective and artificial to a large extent and lacking in objectivity. Assets recognition seemingly rational based on financial reports does not result in valid inflow of funds or turn trading financial assets into equivalent monetary funds. Conducting an analysis on the nominal price of trading financial assets is a re-visit of the prudence principle of accounting as well as an interpretation of rationality of fair value recognition.
- Open Access
- This is an open access article distributed under the CC BY-NC license.
Cite this article
TY - CONF AU - Bayi Guan AU - Xuejie Wang AU - Zhanli Shang AU - Zhongquan Chen PY - 2016/08 DA - 2016/08 TI - The nominal price analysis of trading financial assets at fair value BT - Proceedings of the 3d International Conference on Applied Social Science Research PB - Atlantis Press SP - 1038 EP - 1040 SN - 1951-6851 UR - https://doi.org/10.2991/icassr-15.2016.282 DO - https://doi.org/10.2991/icassr-15.2016.282 ID - Guan2016/08 ER -