Month: July 2014

Fair-Value Accounting Standards Aren’t ‘Fair’ — Stanford Professor

Transparency became a priority following all of the shenanigans that led to the financial crisis and the Great Recession. Banks drew fire because they used traditional accounting principles in order to downplay their huge losses from junk mortgages. The banks valued their financial assets on their original costs. That was problematic but reforms are unfair, according to a Stanford University accounting professor.

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