Fair value: in finance, it refers to commodities in an open and active market, the value of fair trade of commodities, and the value accepted by both buyers and sellers. Sometimes it is not necessarily the real intrinsic value of goods, but related to market demand. For example, the stock and futures markets are obviously traded.

Gains and losses from changes in fair value refer to gains or losses arising from changes in the fair value of investment real estate, debt restructuring, non-monetary exchange, transactional financial assets and other assets that should be included in the current profits and losses.

2. The nature of the account is different:

Changes in fair value of transactional financial assets. In financial accounting, the subject of "changes in fair value" corresponds to the subject of "gains and losses from changes in fair value". Often used in investment real estate, etc.

This account belongs to the profit and loss category. The debit account is the loss amount caused by the change of fair value, and the credit account is the transfer amount; Due to changes in fair value, the amount of income transferred out and the amount of debit are accounted for by creditors.

Extended data:

Main accounting treatment of gains and losses from changes in fair value

On the balance sheet date, the enterprise debits the subjects of "Trading Financial Assets-Changes in Fair Value" and "Investment Real Estate-Changes in Fair Value" according to the difference between the fair value of trading financial assets and its book balance, and credits this subject; If the fair value is lower than its book balance, make the opposite accounting entry.

When selling trading financial assets, you should debit "bank deposits" and other subjects according to the actual amount received, credit "trading financial assets-changes in fair value" according to its book balance, and debit or credit the subject according to the balance of "gains and losses from changes in fair value", and credit or debit the subject of "investment income".

When disposing of the investment real estate measured in a fair mode, debit "bank deposit" and other subjects and credit "other business income" according to the amount received;

Debit "other business expenses" and credit "investment real estate-changes in cost and fair value", and carry forward the accumulated changes in fair value of investment real estate. If there is any amount included in other comprehensive income on the original conversion date, it shall be carried forward together.

Baidu Encyclopedia-Changes in Fair Value

Baidu Encyclopedia-Gains and losses from changes in fair value