One of the key and most controversial accounting and control issues is the measurement of the elements of financial statements. The question of determining the fair value of assets and liabilities is one of the most relevant in modern accounting practice. This type of measurement is currently the subject of heated debate in the accounting community. International Financial Reporting Standards proceed from the priority of the interests of users of financial statements and are essentially aimed at providing them with the most relevant and useful information. This message determines the logic of building standards. IFRS 13 «Fair Value Measurement» considers fair value measurements in a broad sense, concentrating on the definition of fair value and the principles for measuring it. The main problem arising in the process of applying the fair value estimate is the lack of a methodology for its calculation. The article reveals the factors that influence the process of determination fair value. An algorithm in the selection of fair value valuation methods for management accounting is proposed, which allows quickly and timely determine the real value of accounting items and financial reporting elements, as well as a hierarchy of sources of fair value, which is represented by three levels. Level I is distinguished by the lowest degree of subjectivity in the measurement of assets and liabilities, Level II is characterized by a greater degree of subjectivity in the measurement of assets and liabilities, Level III is associated with the greatest degree of subjectivity in the measurement of assets and liabilities. The choice and proper use of the fair value method requires a high level of qualification in the field of appraisal, in-depth knowledge of the asset being valued, a liability or business, as well as the wide application of professional judgment. Historical cost and fair value provide two different kinds of information, which are both useful to investors. A dual measurement and reporting model could be more effective for assessing the success of an investment. Financial statements are more reliable, the more adequately it reflects the financial situation and financial results of the company. It is very important in the preparation of financial statements to apply various methods of measurement of assets and liabilities that are relevant to the company at the moment. Both historical cost and fair value should be provided as only together they can deliver complete and useful information to investors.