The application of “fair value” accounting standards to the income statements of companies listed in the Portuguese Stock Index-20 (PSI-20)

Purpose -"Fair value" accounting standards are not consensual. Supporters claim that they offer a methodology to find the "correct" value of accounting items, whereas critics contend that "fair value" accounting reduces the reliability of financial statements through a complex and unpractical method based on subjective information. Still, the impacts of "fair value" accounting upon taxes and public revenues are rarely discussed.