Fair Value Measurement: The Standard defines fair value as “the price that would be received to sell an asset or paid to transfer a liability to a regular transaction between market participants on the measurement date”. This is sometimes referred to as the "exit price".(AASB13)IFRS 13IFRS 13, Fair Value Measurement, was adopted by the International Accounting Standard Board on 12 May 2011. IFRS 13 provides guidance on how to carry out fair value measurement according to IFRS. and comes into force from 1 January 2013 (IFRS 13). It does not provide guidance on when to use fair value (IFRS 13). The guidance is similar to US GAAP guidance. Fair value means the amount agreed upon by the parties, to put it in simple terms. Why fair value? Previously, organizations used historical cost accounting, which indicates the value of assets and liabilities as of the acquisition date. But as we discussed previously, the data was not accurate or accurate financial statements could not be found based on historical costs. After 12 May 2011, IFRS introduce the measurement of fair value (IFRS 13). Which was indicated by fair value. Thanks to this organization, you can get accurate numbers in your financial statement. This essay includes three examples as below.1) ARB CORPORATION LIMITED Company Summary: ARB Corporation Limited (ARP) designs, manufactures, distributes and sells four-wheel drive vehicle accessories and light metal engineering works with manufacturing facilities in Victoria, Australia and Rayong, Thailand. ARP has a warehouse and sales center located in Australia, Thailand and the United States, as well as distributors in over 100 countries worldwide. Analysis of the annual report: According to the 2013 annual report of the company, the financial report was prepared in...... middle of paper... the contingent consideration is classified as equity, it is not revalued and the settlement is accounted for in the net worth. Otherwise, subsequent changes in the fair value of the potential consideration are recognized in the income statement. The carrying values ​​of financial assets and liabilities approximate their fair values ​​due to their short-term nature. (cardno limited, 2013)CONCLUSION: In conclusion, according to IFRS 13 it can be said that fair value measurement is one of the accurate accounting measurements. Other measurements are also available, but fair value measurement is reliable and compliant with international standards. Since this essay includes three examples from different types of industries, such as infrastructure and environmental services companies, investment companies, and manufacturers. We can say that this is a widely used measure.