An Overview Of The Fair Value Measurement Of Milton Friedman

Register to read the introduction… Following his idea we can see that the business need to do the best to increase its profit which he called that is social responsibility. However the changing of the world has denied his idea of social responsibility of a business by figure out the demand from consumer or shareholder, high pressure of the globalization to business. All of that factors has change the culture and the vision of business in the last decade. In the other hand, Milton Friedman had a forever right idea which is a business must “stays within the “rules of the game””. Although his idea of social responsibility has been denied, the idea of a business must follow the rules and regulation will have been …show more content…
Stock exchange
A stock exchange is a form of exchange which provides services for stock brokers and traders to trade stocks, bonds, and other securities.Companies, which are listed on a stock exchange market must comply with the stockexchange financial disclosure requirement. These companies need to follow the rules and regulations of trading in stock exchange which are forced by the government.
This is an example for rules of stock exchange which are set by AASB.

Fair Value Measurement
This compiled Standard applies to annual reporting periods beginning on or after 1 January 2013 but before 1 July 2013. It takes into account amendments up to and including 18 December 2012 and was prepared on 10 May 2013 by the staff of the Australian Accounting Standards Board (AASB).
1 This Standard:
(a) defines fair value;
(b) sets out in a single Standard a framework for measuring fair value; and
(c) requires disclosures about fair value
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This famous statement has became the debated and conflicted topic until now. Carefully reading this statement, we see the two points of a business need to consider from Milton Friedman. Firstly,we will analyze the statrment of “ and only one social resposibility of business – to use its resources to engage in activities designed to increase profit...” what we can directly understand of this statement is about the significance of the profit to a business due to its social responsibility. Milton Friedman asserted that “one and only one social responsibility” of a business is to increase its profit. We can deny that in business, a company need to get the profits to support for its survival and development.Yes, profit is the blood of the company however in modern business this idea is not so true at all. Nowadays, people is thinking more and more about the “social responsibility” of a business which is not as simply as it was in 20th decade which business’s social responsibility is to increase profit. In another point of view, business is presently facing an uncertain competitive environment with multiple demands and pressures from customers and numerous stakeholders. In modern business, people are now more concerned about ethics business, environmental responsibility and community responsibility which are changing due to the demands and need of consumers as well as the

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