On the New Property of Accounting Measurement——Fair Value

It is an advancement and focus of attention to introduce fair value to the new accounting principles,which indicates that people's understanding of fair value is getting mature and China's accounting principles are getting in line with the international practice.With the perfection of China's market-oriented economy and the improvement of accounting theory,fair value is destined to be used more widely and finally replace historical cost as the basis of accounting measurement.This paper deals with fair value in its definition,application in real life and the challenges it brings.