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www.ChartAcc.com - IFRS 13 defines hierarchy to determine Fair Values for measurement and disclosure purposes.

Three levels of hierarchy are categorised as follows:

1. Level 1 - Quoted prices:
• These are observable prices 
• available in Active Markets (Click for definition)
• for identical assets or liabilities 
• that the entity can access at the measurement date.
2. Level 2 - Unquoted but Observable prices:
• These are unquoted market prices (i.e. other than above, Level 1) 
• observable; either directly or indirectly 
• with quoted prices of:
• similar assets or liabilities in Active Markets
• identical or similar assets or liabilities in markets that are not active
• with unquoted prices that are:
•  observable for the asset or liability
• derived from observable market data by correlation or other methods. 
3. Level 3 - Unobservable prices:
• These are prices for which observable inputs are not available and 
• derived from:
• assumptions 
• similar circumstances 
• market participants.

Read more here:

• What is IFRS 13 all about?
• Definition of Fair value
• Exceptions to applicability of IFRS 13 - Fair Value Measurement

More about IFRS 13

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