what is the difference between carrying value and fair value
submitted by Hiram Cheap

rembles

Carrying value is what you see on the books for an asset or liability.

Fair value is what you could actually sell that asset for in the open market. It's what others are willing to pay, in other words.

veely vonka

Carrying value is the value of an asset that's recorded on the balance sheet. That's usually based on what was paid for it, minus any depreciation. Fair value is a more market-oriented measure. It's the price you'd get if you sold the asset right now in an active market.

You can also have carrying value and fair value with liabilities. Carrying value would be the original value, minus any amortization.