What does FASB ASC 820 enhance regarding fair value measurements?

FASB ASC 820, which addresses fair value measurements, primarily enhances disclosure requirements related to fair value. This standard aims to improve transparency and consistency in how fair values are measured and reported in financial statements. By establishing a framework for measuring fair value and requiring specific disclosures about the valuation techniques and inputs used, it enhances the users' understanding of fair value measurements.

These disclosures help stakeholders, including investors and analysts, assess the quality of the information presented and the potential risks associated with these measurements. They provide insights into how fair values are derived, enabling better comparisons across entities and industries.

The other options, such as market comparability, cost efficiency, and asset diversification, are not the primary focus of FASB ASC 820. While better disclosures can indirectly support market comparability, the standard itself is not designed to address these aspects directly. Thus, the enhancement brought by FASB ASC 820 is most accurately reflected in its requirements for improved disclosure of fair value measurements.