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www.ChartAcc.com - To measure Fair value under IFRS 13 Purpose of tecniques to be used is as follows:

• Sufficient data should be available that 
• maximises the use of relevant observable inputs and 
• minimises the use of unobservable inputs.

Three techniques to measure Fair value are as follows:

1. Market approach:
• Prices and other related information 
• generated by market transactions 
• involving identical / comparable / similar assets and liabilities or a group of assets and liabilities.
2. Cost approach:
• Amount that would be required currently to replace the service capacity of an asset 
• Particularly called Current Replacement Cost
3. Income approach:
• Present value (Discounted price)
• of future amounts (cash flows or income less expenses)
• that reflects current market expectations.

Above techniques can be for single or multiple valuations collectively wherever appropriate.

Read more here:

• What is IFRS 13 all about?
• Definition of Fair Value
• Fair value hierarchy

More about IFRS 13

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Posted by Vikrmn: Author of "10 Alone" (CA Vikram Verma) 10Alone.com