Fair Value for Financial Reporting

fair value for financial reporting

Fair Value for Financial Reporting


Mitchell & Taylor utilise our quantitative asset research and data collection to arrive at fair value through the following valuation approaches:

  • Cost approach; This approach is suitable for specialised assets where comparable sales evidence does not exist
  • Market approach; This approach is suitable for assets that are commonly transacted in the open market
  • Income approach; This approach identifies and measures external economic obsolescence

These approaches accord with the latest International Valuation Standards Council International Valuation Standards and Australian and international accounting standards AASB116 and IAS6 “Property Plant and Equipment” and AASB 13 “Fair Value Measurement”.



Unlocking Insights with Mitchell & Taylor Valuations

In the realm of financial reporting, fair value holds significant importance as it provides a true reflection of the worth of an asset. Accurate valuation is a complex task that demands expertise in quantitative asset research and meticulous data collection. Enter Mitchell & Taylor Valuations, an asset valuer and Auditors Expert that specialises in assisting businesses with their fair value determination. our team can contribute to quantitative asset research and data collection, empowering businesses with reliable insights from fair value for financial reporting.

Understanding Fair Value in Financial Reporting


Fair Value for financial reporting represents the unbiased estimate of an asset’s worth, reflecting the price at which it would be exchanged between knowledgeable and willing parties in an arm’s length transaction. By adhering to fair value principles, businesses can present transparent financial statements that accurately depict their financial health. This valuation approach is vital for stakeholders, including investors and regulators, as it enhances the credibility and reliability of financial reporting.

The Role of Mitchell & Taylor Valuations as an Auditors Expert

Mitchell & Taylor Valuations is a renowned asset valuer that specialises in providing expert assistance to businesses for fair value determination. As an Auditors Expert, they play a pivotal role in the audit process, offering their professional insights and expertise to ensure the accuracy and reliability of financial statements.

We act on behalf of external auditors as an Auditor’s Expert, providing fair value for financial reporting. We are typically engaged to review third party valuations that are included in financial statements which are subject to audit. These reviews assist the auditor in verifying the work is in accordance with applicable valuation standards and the methods, models and assumptions are consistent with generally accepted valuation practice.

Here’s how Mitchell & Taylor Valuations can assist businesses:

  1. Quantitative Asset Research and Analysis; Mitchell & Taylor Valuations possesses a wealth of experience and expertise in quantitative asset research. Their team of skilled professionals thoroughly examines financial data, market trends and other relevant factors to conduct in-depth analysis. This research-driven approach enables them to provide accurate and reliable fair value assessments for various assets.
  2. Comprehensive Data Collection; Accurate valuation requires reliable data. Mitchell & Taylor Valuations understands the significance of robust data collection and has access to extensive databases, market research reports and industry benchmarks. By leveraging their data collection capabilities, they ensure that businesses have access to accurate and up-to-date information, enhancing the integrity of fair value for financial reporting.
  3. Specialised Valuation Methodologies; With a strong foundation in valuation methodologies, Mitchell & Taylor Valuations tailors their approach to the unique characteristics of each asset. They employ a range of proven techniques, including discounted cash flow (DCF) analysis, market multiples, and cost-based approaches. This comprehensive methodology ensures a holistic assessment of fair value, meeting the stringent requirements of financial reporting standards.
  4. Independent Expert Perspective; As an external Auditors Expert, Mitchell & Taylor Valuations brings an independent and objective perspective to the valuation process. This objectivity enhances the credibility of financial statements and provides stakeholders with confidence in the reported fair value. Their unbiased insights contribute to the transparency and accuracy of fair value for financial reporting, instilling trust among investors, regulators, and other relevant parties.

Experts in fair value for financial reporting

Accurate fair value determination is essential for transparent financial reporting. By engaging the expertise of Mitchell & Taylor Valuations, businesses can unlock the insights needed to assess the true worth of their assets. As an Auditors Expert, Mitchell & Taylor Valuations excels in quantitative asset research, data collection, and employing specialised valuation methodologies. Their contributions not only ensure compliance with financial reporting standards but also instil confidence in stakeholders. In an ever-evolving financial landscape, partnering with a trusted asset valuer like Mitchell & Taylor Valuations is a strategic decision that empowers businesses with reliable insights, enhancing their long-term success.


To find out more about Fair Value for Financial Reporting and how our team of expert valuers can assist, contact us now.