The assignment provides a detailed comparison between Fair Value Accounting (FVA) and Historical Cost Accounting (HCA). It discusses the adoption of FVA by Wesfarmers, an Australian company listed on the ASX, and examines the differences in non-current asset valuation that would arise if HCA were used instead. The analysis highlights the potential for mis-presentation of financial position and misleading investors if FVA is not adopted. The assignment also reviews relevant literature on FVA and its impact on corporate cash holdings, analyst forecast accuracy, and debt structure.