Luca Pacioli and the Fair Value. The importance of differentiating between technique and politics
Does accounting, according to Luca Pacioli, only include measurements at historical cost and, consequently, are fair value measurements unrelated to it?
Possibly many answer affirmatively that question. However, things are not like that because in the background what there is is a contemporary debate, not resolved, between technique and politics: two faces that are not of the same coin so many times they appear together.
Luca Pacioli also incorporated estimates and valuations according to the criteria of the merchant. With reference to the markets of its time.
This is clearly stated in its Tratactus XI De Computis et Scripturis.
If you are interested in reading the full article (4 pages), download the PDF here.Paciolo and Fair Value March 2019