1-Historical cost: Assets are recorded at the amount of cash or cash equivalents 
paid or the fair value of the consideration given to acquire them at the time of their 
acquisition. Liabilities are recorded at the amount of proceeds received in exchange for 
the obligation, or in some circumstances (for example, income taxes) 
2- Realizable (settlement) value: Assets are carried at the amount of cash or 
cash equivalents that could currently be obtained by selling the asset in orderly 
disposal. Liabilities are carried at their settlement values. 
3- Present value: Assets are carried at the present discounted value of the future 
net cash inflows that the item is expected to generate in the normal course of business. 
Liabilities are carried at the present discounted value of the future net cash outflows.  
4-Current cost: Assets are carried at the amount of cash or cash equivalents that 
would have to be paid if the same or an equivalent asset was acquired currently. 
Liabilities are carried with an undiscounted amount of cash.