Accounting standard AASB 13Fair Value Measurementdefines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between "market participants" at the measurement date.

What are the strengths and weaknesses of fair value as compared with other measurement methods such as historical cost? Refer to the qualitative characteristics of financial information outlined in the conceptual framework in your response.?

b) Accounting standard AASB 13Fair Value Measurementdefines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between "market participants" at the measurement date.

Not all prices of market transactions can be considered as fair value because they may not meet the characteristics of the "market participants". Under what circumstances would the market prices not represent fair value?