This document discusses impairment testing requirements for goodwill, indefinite-lived intangible assets, and long-lived assets under US GAAP. It provides background on the structure of impairment testing, noting that indefinite-lived assets must be tested first, followed by long-lived assets, and finally goodwill. The order of operations for a single reporting unit example is outlined. The current economic environment has led to a significant increase in impairment charges for many companies as they apply these testing requirements.
In this edition of Valuation Insights we discuss retention incentives that are expected to become more mainstream under the new Trump Administration. The article discusses recent high profile cases, such as United Technologies recently announced deal to retain Carrier Corporation's furnace manufacturing facility in Indiana. The most common retention incentives are discussed in the article as well as best practices to improve your prospects for securing them.
Other Topics Covered Include:
• Goodwill impairment trends as highlighted in the Duff & Phelps 2016 U.S. and European Goodwill Impairment Studies • Duff & Phelps' Fifth Annual Transaction Trail Report on M&A and Capital Markets Activity in Southeast Asia • Delaware Chancery Court Case which utilized the Duff & Phelps Valuation Handbook Series as support for its conclusion that the respondent's expert's analysis was more reliable.
In this edition of Valuation Insights we discuss retention incentives that are expected to become more mainstream under the new Trump Administration. The article discusses recent high profile cases, such as United Technologies recently announced deal to retain Carrier Corporation's furnace manufacturing facility in Indiana. The most common retention incentives are discussed in the article as well as best practices to improve your prospects for securing them.
Other Topics Covered Include:
• Goodwill impairment trends as highlighted in the Duff & Phelps 2016 U.S. and European Goodwill Impairment Studies • Duff & Phelps' Fifth Annual Transaction Trail Report on M&A and Capital Markets Activity in Southeast Asia • Delaware Chancery Court Case which utilized the Duff & Phelps Valuation Handbook Series as support for its conclusion that the respondent's expert's analysis was more reliable.
Companies may soon have more flexibility in testing for impairment of indefinite-lived intangible assets, if changes exposed for comment by the FASB in January 2012 are adopted as proposed. This new proposal follows closely on the heels of guidance recently released for impairment tests of goodwill, and there are similarities in both the objectives and the overall approach. Like the guidance on goodwill, the proposal for other indefinite-lived intangible assets responds to concerns about the recurring cost and complexity of performing impairment tests, and the proposed relief includes an option to use qualitative assessments to determine when additional quantitative testing is necessary. This Messenger highlights the proposed changes that would apply to other indefinite-lived intangible assets, including trademarks, licenses and distribution rights.
Business valuation fundamentals & the maximization of entity valueAzran Financial APC
In the complex world of business valuation, understanding the valuations process can be of key importance to receiving the highest and best value for your company.
Through a basic understanding of the principles of business valuation (both public and private, closely held) one can learn to navigate the process that touches everything from transactions to taxation.
Presentation to Accounting Educators at the Pearson - Presentice-Hall Accounting Symposium in 2009. Includes update of three major trends facing Profession - Globalization - Workforce - Technology
MACPA Professional Issues Update - Spring 2009 edition. Preso covers major trends affecting the CPA profession including the economic crisis, globalization, regulation/standards, technology, workforce, and Maryland legislative & regulatory developments
ACC403 Wk 4 Assignment 1 Auditors and Regulatory OversightTEXT.docxnettletondevon
ACC403 Wk 4 Assignment 1: Auditors and Regulatory Oversight
TEXT: Auditing and Assurance Services - ARENS | ELDER | BEASLEY | HOGAN
The Securities and Exchange Commission (SEC) regulates public companies. The SEC has found that some of these companies have violated GAAP by using creative accounting practices to mislead investors and creditors regarding the health of their company.
Use the Internet or Library to research a recent accounting scandal within the last five (5) years where the SEC accused public companies of accounting irregularities.
Write a four to five (4-5) page paper in which you:
1. Analyze the audit report that the CPA firm issued. Ascertain the legal liability to third parties who relied on financial statements under both common and federal securities laws. Justify your response.
2. Speculate on which statement of generally acceptable auditing standards (GAAS) that the company violated in performing the audit.
3. Compare the responsibility of both management and the auditor for financial reporting, and give your opinion as to which party should have the greater burden. Defend your position.
4. Analyze the sanctions available under SOX, and recommend the key action(s) that the PCAOB should take in order to hold management or the audit firm accountable for the accounting irregularities. Provide a rationale for your response.
5. Use at least four (4) quality academic resources in this assignment.
Note: Wikipedia and other Websites do not qualify as academic resources.
The assignment must follow these formatting requirements:
· Be typed, double spaced, using Times New Roman font (size 12), with 1” margins on all sides; citations and references must follow APA or school-specific format.
· Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
· Analyze the required generally accepted auditing standards, professional ethics, and legal liability of the auditor.
· Assess how the Sarbanes-Oxley Act has affected auditing.
· Evaluate an audit report.
· Evaluate objectives for conducting audits, and compare management’s and auditors’ responsibilities.
· Use technology and information resources to research issues in auditing.
· Write clearly and concisely about auditing using proper writing mechanics.
Running Head: ASSIGNMENT 1: AUDITOR AND REGULATORY OVERSIGHT 1
AUDITOR AND REGULATORY OVERSIGHT 7
Auditor and Regulatory Oversight
J
Dr.
University
ACC403
AUDITING
January 29, 2017
When the stock market crashed in October 1929, so did public confidence in the U.S. markets. Congress held hearings to identify the problems and search for solutions. Based on its findings, Congress in the peak year of the Depression passed the Securities Act of 1933. The following year, it.
Currently pi network is not tradable on binance or any other exchange because we are still in the enclosed mainnet.
Right now the only way to sell pi coins is by trading with a verified merchant.
What is a pi merchant?
A pi merchant is someone verified by pi network team and allowed to barter pi coins for goods and services.
Since pi network is not doing any pre-sale The only way exchanges like binance/huobi or crypto whales can get pi is by buying from miners. And a merchant stands in between the exchanges and the miners.
I will leave the telegram contact of my personal pi merchant. I and my friends has traded more than 6000pi coins successfully
Tele-gram
@Pi_vendor_247
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
what is the future of Pi Network currency.DOT TECH
The future of the Pi cryptocurrency is uncertain, and its success will depend on several factors. Pi is a relatively new cryptocurrency that aims to be user-friendly and accessible to a wide audience. Here are a few key considerations for its future:
Message: @Pi_vendor_247 on telegram if u want to sell PI COINS.
1. Mainnet Launch: As of my last knowledge update in January 2022, Pi was still in the testnet phase. Its success will depend on a successful transition to a mainnet, where actual transactions can take place.
2. User Adoption: Pi's success will be closely tied to user adoption. The more users who join the network and actively participate, the stronger the ecosystem can become.
3. Utility and Use Cases: For a cryptocurrency to thrive, it must offer utility and practical use cases. The Pi team has talked about various applications, including peer-to-peer transactions, smart contracts, and more. The development and implementation of these features will be essential.
4. Regulatory Environment: The regulatory environment for cryptocurrencies is evolving globally. How Pi navigates and complies with regulations in various jurisdictions will significantly impact its future.
5. Technology Development: The Pi network must continue to develop and improve its technology, security, and scalability to compete with established cryptocurrencies.
6. Community Engagement: The Pi community plays a critical role in its future. Engaged users can help build trust and grow the network.
7. Monetization and Sustainability: The Pi team's monetization strategy, such as fees, partnerships, or other revenue sources, will affect its long-term sustainability.
It's essential to approach Pi or any new cryptocurrency with caution and conduct due diligence. Cryptocurrency investments involve risks, and potential rewards can be uncertain. The success and future of Pi will depend on the collective efforts of its team, community, and the broader cryptocurrency market dynamics. It's advisable to stay updated on Pi's development and follow any updates from the official Pi Network website or announcements from the team.
Companies may soon have more flexibility in testing for impairment of indefinite-lived intangible assets, if changes exposed for comment by the FASB in January 2012 are adopted as proposed. This new proposal follows closely on the heels of guidance recently released for impairment tests of goodwill, and there are similarities in both the objectives and the overall approach. Like the guidance on goodwill, the proposal for other indefinite-lived intangible assets responds to concerns about the recurring cost and complexity of performing impairment tests, and the proposed relief includes an option to use qualitative assessments to determine when additional quantitative testing is necessary. This Messenger highlights the proposed changes that would apply to other indefinite-lived intangible assets, including trademarks, licenses and distribution rights.
Business valuation fundamentals & the maximization of entity valueAzran Financial APC
In the complex world of business valuation, understanding the valuations process can be of key importance to receiving the highest and best value for your company.
Through a basic understanding of the principles of business valuation (both public and private, closely held) one can learn to navigate the process that touches everything from transactions to taxation.
Presentation to Accounting Educators at the Pearson - Presentice-Hall Accounting Symposium in 2009. Includes update of three major trends facing Profession - Globalization - Workforce - Technology
MACPA Professional Issues Update - Spring 2009 edition. Preso covers major trends affecting the CPA profession including the economic crisis, globalization, regulation/standards, technology, workforce, and Maryland legislative & regulatory developments
ACC403 Wk 4 Assignment 1 Auditors and Regulatory OversightTEXT.docxnettletondevon
ACC403 Wk 4 Assignment 1: Auditors and Regulatory Oversight
TEXT: Auditing and Assurance Services - ARENS | ELDER | BEASLEY | HOGAN
The Securities and Exchange Commission (SEC) regulates public companies. The SEC has found that some of these companies have violated GAAP by using creative accounting practices to mislead investors and creditors regarding the health of their company.
Use the Internet or Library to research a recent accounting scandal within the last five (5) years where the SEC accused public companies of accounting irregularities.
Write a four to five (4-5) page paper in which you:
1. Analyze the audit report that the CPA firm issued. Ascertain the legal liability to third parties who relied on financial statements under both common and federal securities laws. Justify your response.
2. Speculate on which statement of generally acceptable auditing standards (GAAS) that the company violated in performing the audit.
3. Compare the responsibility of both management and the auditor for financial reporting, and give your opinion as to which party should have the greater burden. Defend your position.
4. Analyze the sanctions available under SOX, and recommend the key action(s) that the PCAOB should take in order to hold management or the audit firm accountable for the accounting irregularities. Provide a rationale for your response.
5. Use at least four (4) quality academic resources in this assignment.
Note: Wikipedia and other Websites do not qualify as academic resources.
The assignment must follow these formatting requirements:
· Be typed, double spaced, using Times New Roman font (size 12), with 1” margins on all sides; citations and references must follow APA or school-specific format.
· Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
· Analyze the required generally accepted auditing standards, professional ethics, and legal liability of the auditor.
· Assess how the Sarbanes-Oxley Act has affected auditing.
· Evaluate an audit report.
· Evaluate objectives for conducting audits, and compare management’s and auditors’ responsibilities.
· Use technology and information resources to research issues in auditing.
· Write clearly and concisely about auditing using proper writing mechanics.
Running Head: ASSIGNMENT 1: AUDITOR AND REGULATORY OVERSIGHT 1
AUDITOR AND REGULATORY OVERSIGHT 7
Auditor and Regulatory Oversight
J
Dr.
University
ACC403
AUDITING
January 29, 2017
When the stock market crashed in October 1929, so did public confidence in the U.S. markets. Congress held hearings to identify the problems and search for solutions. Based on its findings, Congress in the peak year of the Depression passed the Securities Act of 1933. The following year, it.
Currently pi network is not tradable on binance or any other exchange because we are still in the enclosed mainnet.
Right now the only way to sell pi coins is by trading with a verified merchant.
What is a pi merchant?
A pi merchant is someone verified by pi network team and allowed to barter pi coins for goods and services.
Since pi network is not doing any pre-sale The only way exchanges like binance/huobi or crypto whales can get pi is by buying from miners. And a merchant stands in between the exchanges and the miners.
I will leave the telegram contact of my personal pi merchant. I and my friends has traded more than 6000pi coins successfully
Tele-gram
@Pi_vendor_247
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
what is the future of Pi Network currency.DOT TECH
The future of the Pi cryptocurrency is uncertain, and its success will depend on several factors. Pi is a relatively new cryptocurrency that aims to be user-friendly and accessible to a wide audience. Here are a few key considerations for its future:
Message: @Pi_vendor_247 on telegram if u want to sell PI COINS.
1. Mainnet Launch: As of my last knowledge update in January 2022, Pi was still in the testnet phase. Its success will depend on a successful transition to a mainnet, where actual transactions can take place.
2. User Adoption: Pi's success will be closely tied to user adoption. The more users who join the network and actively participate, the stronger the ecosystem can become.
3. Utility and Use Cases: For a cryptocurrency to thrive, it must offer utility and practical use cases. The Pi team has talked about various applications, including peer-to-peer transactions, smart contracts, and more. The development and implementation of these features will be essential.
4. Regulatory Environment: The regulatory environment for cryptocurrencies is evolving globally. How Pi navigates and complies with regulations in various jurisdictions will significantly impact its future.
5. Technology Development: The Pi network must continue to develop and improve its technology, security, and scalability to compete with established cryptocurrencies.
6. Community Engagement: The Pi community plays a critical role in its future. Engaged users can help build trust and grow the network.
7. Monetization and Sustainability: The Pi team's monetization strategy, such as fees, partnerships, or other revenue sources, will affect its long-term sustainability.
It's essential to approach Pi or any new cryptocurrency with caution and conduct due diligence. Cryptocurrency investments involve risks, and potential rewards can be uncertain. The success and future of Pi will depend on the collective efforts of its team, community, and the broader cryptocurrency market dynamics. It's advisable to stay updated on Pi's development and follow any updates from the official Pi Network website or announcements from the team.
how to sell pi coins on Bitmart crypto exchangeDOT TECH
Yes. Pi network coins can be exchanged but not on bitmart exchange. Because pi network is still in the enclosed mainnet. The only way pioneers are able to trade pi coins is by reselling the pi coins to pi verified merchants.
A verified merchant is someone who buys pi network coins and resell it to exchanges looking forward to hold till mainnet launch.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
Introduction to Indian Financial System ()Avanish Goel
The financial system of a country is an important tool for economic development of the country, as it helps in creation of wealth by linking savings with investments.
It facilitates the flow of funds form the households (savers) to business firms (investors) to aid in wealth creation and development of both the parties
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the contact information for my personal pi vendor.
Telegram: @Pi_vendor_247
how to sell pi coins in South Korea profitably.DOT TECH
Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the telegram id of my personal pi merchant who i trade pi with.
Tele gram: @Pi_vendor_247
#pi #sell #nigeria #pinetwork #picoins #sellpi #Nigerian #tradepi #pinetworkcoins #sellmypi
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
Financial Assets: Debit vs Equity Securities.pptxWrito-Finance
financial assets represent claim for future benefit or cash. Financial assets are formed by establishing contracts between participants. These financial assets are used for collection of huge amounts of money for business purposes.
Two major Types: Debt Securities and Equity Securities.
Debt Securities are Also known as fixed-income securities or instruments. The type of assets is formed by establishing contracts between investor and issuer of the asset.
• The first type of Debit securities is BONDS. Bonds are issued by corporations and government (both local and national government).
• The second important type of Debit security is NOTES. Apart from similarities associated with notes and bonds, notes have shorter term maturity.
• The 3rd important type of Debit security is TRESURY BILLS. These securities have short-term ranging from three months, six months, and one year. Issuer of such securities are governments.
• Above discussed debit securities are mostly issued by governments and corporations. CERTIFICATE OF DEPOSITS CDs are issued by Banks and Financial Institutions. Risk factor associated with CDs gets reduced when issued by reputable institutions or Banks.
Following are the risk attached with debt securities: Credit risk, interest rate risk and currency risk
There are no fixed maturity dates in such securities, and asset’s value is determined by company’s performance. There are two major types of equity securities: common stock and preferred stock.
Common Stock: These are simple equity securities and bear no complexities which the preferred stock bears. Holders of such securities or instrument have the voting rights when it comes to select the company’s board of director or the business decisions to be made.
Preferred Stock: Preferred stocks are sometime referred to as hybrid securities, because it contains elements of both debit security and equity security. Preferred stock confers ownership rights to security holder that is why it is equity instrument
<a href="https://www.writofinance.com/equity-securities-features-types-risk/" >Equity securities </a> as a whole is used for capital funding for companies. Companies have multiple expenses to cover. Potential growth of company is required in competitive market. So, these securities are used for capital generation, and then uses it for company’s growth.
Concluding remarks
Both are employed in business. Businesses are often established through debit securities, then what is the need for equity securities. Companies have to cover multiple expenses and expansion of business. They can also use equity instruments for repayment of debits. So, there are multiple uses for securities. As an investor, you need tools for analysis. Investment decisions are made by carefully analyzing the market. For better analysis of the stock market, investors often employ financial analysis of companies.
1. CONTENTS
Impairment Testing of Goodwill,
1
Indefinite and Long-lived Assets In Impairment Testing of
Goodwill, Indefinite and
the Current Environment Long-lived Assets in the
Current Environment
2
by PJ Patel, CFA, ASA ment amounts are allocated to identifiable Editors’ Column
impaired assets before finally determining
The current financial and economic envi- goodwill impairment. No asset is impaired 3
ronment has had a significant impact on to a value that is less than its fair value. Social Media: What Is It and
financial statements. As companies test Should You Care?
their assets for impairment, many have Order of Operations
taken significant non-cash impairments The testing methodology requires in-
6
Social Media Is Here To Stay
of goodwill, intangible assets, and even definite-lived assets to be tested first,
PP&E, causing their balance sheets to followed by long-lived assets, and finally 7
shrink. As the economic turmoil persists, goodwill. In each step, the carrying value A Tale of Two FLP Estate Tax
companies will continue to recognize im- of assets is adjusted before subsequent Cases: Facts and Judges
pairments on a variety of assets. impairment tests. Differ
Under US GAAP, impairment testing is For instance, the order of operations for
9
ASB Adopts New Disclosure
covered by SFAS Nos. 142 and 144. SFAS impairment testing of a company with a Requirements for 2010-2011
No. 142 provides guidance on the testing single reporting unit which consists of a Edition of USPAP
and impairment of goodwill and indefinite- single asset group and a single indefinite-
lived intangibles; SFAS No. 144 provides lived trademark would be as follows. 15
guidance on the testing and impairment Calendar
of long-lived assets. These documents are 1. Trademark would be tested for impair-
supplemented by other FASB literature ment. If impaired, the carrying value of
such as SFAS No. 157, EITF 02-7, EITF the trademark would be adjusted for the
02-13 and various SEC speeches and audi- calculated amount of the impairment.
tor interpretations. 2. The asset group would be tested for
impairment by comparing undiscounted
cash flows with the fair value of the as-
Background: set group including the trademark at its
The Structure of adjusted fair value.
Impairment Testing a. If the asset group was determined to
be impaired, the carrying value of
SFAS Nos. 142 and 144 collectively long lived assets would be adjusted
provide guidance for testing goodwill, for impairment. VOL. 10, ISSUE NO. 3
indefinite-lived and long lived assets for 3. Goodwill impairment is tested by com-
impairment. While each asset category has
a unique testing methodology, together a
paring the fair value of the reporting
unit to the carrying value based on prior JULY
systematic approach (and closed model) adjustment/impairments. The fair value
for impairment testing is evident. Impair- CONTINUED ON PAGE 10 2009
3. JULY 2009
Social Media: What Is It and Should You Care?
by Barbara Walters Price ■ “Attorney Thomas N. Shorter … a shareholder in the Madi-
son office of Godfrey & Kahn, S.C., says he has LinkedIn
Overview set as his homepage. Every time one of his 200 or so con-
Social media tools have transformed the Web from a one- nections adds a connection, he is notified of that. If the new
way communication vehicle to a real-time and interactive connection is someone that Shorter would like to know
medium. professionally, he telephones his connection and asks him
or her to make an introduction. This has happened a number
This article is addressed to business valuation professionals. Its of times since joining LinkedIn … and he has garnered a
purpose is to help you make sense of social media and decide number of new cases and clients via this method.”
if it is right for you and your practice. ■ “Among the Davis & Kuelthau s.c. lawyers … was a partner
who was skeptical [of social media] at first. But … in response
We will introduce a few tools that might be useful, talk about to two of his e-mails asking clients to connect, not only did
the potential benefits and shortcomings of your participation, they accept his invitation, but also, they contacted him, saying
and suggest a strategy to help get started, should you decide “I’ve been meaning to get in touch with you about …. Two new
to test the waters. matters landed on his plate, with very little effort on his part.”
■ Rick Telberg, president and CEO of Bay Street Group LLC
Social Media Can Help You and Your Firm and well-known author of CPA Trendlines, retells the Twitter
The greatest potential benefit of social media is its ability to success story of Andrew Rose, director of marketing and
generate broader exposure for you and your firm. This expo- business development of Naden/Lean CPAs of Timonium,
sure will result in: Maryland. Twitter helped Naden/Lean improve their search
engine ranking. Per Andrew: 2
■ Networking opportunities with current clients, as well as people
you would not otherwise have knowledge of or access to; … I started Twitter searching to see what people were
■ Increased traffic to your Web site; saying, er, tweeting, about us. You can imagine my sur-
■ A rise in the search rankings for you and/or your firm; prise when I found a post related to an industry niche
■ Strengthening of your personal and professional brand; and blog we run describing how valuable our advice was. It
■ A powerful recruitment and retention tool for the millennial was from someone I didn’t know. So I began following
generation. him and thanked him for recognizing us in this public
fashion, unsolicited.
FIGURE 1 And, the kicker? His tweet, reposting a link to our in-
dustry blog now ranks in the top 20 for a keyword in an
organic Google search.”
Focus on Giving, Not Getting
To be effective in social media, you need to approach it with
the right attitude. Focus on giving—providing information and
resources. From there, you will see the most benefit.
Says Debra Helwig, marketing communications manager of
IGAF Worldwide and author of the blog Service Minded (www.
debrahelwig.wordpress.com) “All of it [social media] is putting
bread on the water. You have to focus on giving, not getting.
You must first be ready to learn and absorb and give back.”
Select the Right Tools
Many successful business appraisers get their best work by It has been said that 80 percent of the fuel on the space shuttle
word-of-mouth marketing (referrals). Increasingly, social is used to get the shuttle into orbit, and rest of the mission relies
media is moving word-of-mouth marketing online. Here are upon the remaining 20 percent. So it is with social media. 80
some examples of this phenomenon from law firms using percent of your efforts will be dedicated to just getting off the
LinkedIn1 and Twitter: ground, so choosing the right tool is important.
CONTINUED ON PAGE 4
3
5. JULY 2009
While it is easy to set up a blog, it is difficult to maintain one. YouTube. YouTube allows users to upload and share video clips.
This is the reason it is listed fourth in order of importance You can also paste videos from YouTube to blogs, Web sites, and
on my list. A blog needs to have a sharp content focus and other social networking sites. Videos appear in Google search results
be constantly fed. Authors should post at least twice a week, and video. If thoughtfully done,YouTube can be an effective way to
preferably three times a week. This requires a large commit- present yourself, your firm, or a particular topic of interest.
ment of time and resources.
These are some of the most popular social media tools and
There is currently a void in the business valuation space for a well- those I believe might be most beneficial to readers. This list is
written blog. Only a few business valuation-themed blogs could not all-inclusive. A more comprehensive list of social media
be identified for this article and they are not often updated. marketing tools can be found at the blog Junta42blog.15
Before you begin to blog, know what your blog will be about, Be Aware of the Possible Shortcomings
identify the author(s), draft several posts for future publication, Social media is not a panacea and it is not for everyone. Al-
and commit to it for at least a year. Then decide upon the ap- ways keep in mind that there are opportunity costs attached
propriate blogging platform for your needs, design, and launch. to everything we do. Consider the following:
Promote your blog in all your other marketing channels, link
to other blogs, and leave comments on other blogs. 1. Time. One of the biggest opportunity costs is time. Social media
participation can be time intensive. Many marketing experts
Jerry Work, president of Work Media Internet Marketing, says advise posting to a blog at least three times a week, tweeting at
“Really, you just have to remember that you’re not blogging least three to five times a day, updating your status on LinkedIn
just to sell stuff—you are trying to build a community of several times a week, participating in pertinent group discus-
people who are interested in what you have to say, and you sions, and updating your Facebook status several times a week.
are participating in a larger community-wide discussion that Social media can easily consume half an eight-hour workday
involves your blogs, as well as the blogs of others.”12 or more if you don’t have concrete goals and parameters.
2. Loose Cannons. Understand that you cannot always control the
Facebook. Lastly, consider joining Facebook. It is the most popu- message. If your employees are engaged in social media, there
lar free-access social networking site with more than 200 million is always the possibility that they may post something unflatter-
users worldwide and over 60 million in the United States.13 ing. For example, this year, an ad agency executive representing
Ketchum was in town to make a digital media presentation to
According to the istrategylabs.com 2009 Facebook Demo- his client, FedEx, headquartered in Memphis, Tennessee.
graphics and Statistics report, the 35-54 year old demographic The ad agency executive got into trouble when he tweeted
is growing fastest, followed by the 55-or-older group. The unflattering remarks about the city of Memphis. It turns out
25-34 year population is doubling every six months.14 that FedEx workers were among his Twitter followers and
they did not react well to a vendor insulting their city. It
Facebook is primarily used for personal social networking (cur- caused embarrassment on many levels.
rent friends, old friends from high school and college, family, Here’s the takeaway: If you, as an individual, believe in the
etc.). Contacts are called “friends.” But many users also incor- virtues of being blunt, stay away from social media. People
porate professional applications. People use the status updates forget the massive reach of social media. Also, be aware that
feature on Facebook to inform their network about blog posts, many, if not most, of your employees or colleagues are already
videos, or other items of broader professional interest. engaged in social media in some form. A prudent course of
action is to instate a social media policy at your firm.16
Consider These As Well In another example, two employees at Domino’s Pizza posted
HARO. Subscribe to HARO, or Help a Reporter Out. Philip a supposedly humorous video on YouTube in which they were
Shankman, a self-described CEO, entrepreneur, and adven- doing some disgusting things while making sandwiches. That
turer, began this project. Over 100,000 people subscribe to this video “went viral.” While these were isolated acts by employees
free service. They receive at least three e-mails a day filled who claimed they didn’t serve the contaminated food, they were
with queries from reporters about stories they are working on. subsequently arrested for food tampering and Domino’s had a
The queries range from lifestyle to technology to business. If huge PR catastrophe to deal with.
you see a query you can answer, contact the reporter directly. 3. Distraction. Don’t ignore your other marketing tools. Social
To subscribe, visit http://www.helpareporter.com. media can distract you from the importance of maintaining
your other marketing strategies. Before spending a great deal
Ning. Ning allows you to create your own social network of time on social media, make sure your Web site is up-to-
around a subject of interest with your own visual design, choice date and full of useful content. Your Web site is still your
of features and member data. Customization is an important premier marketing tool and each social media tool should
feature, as users automatically have a customizable profile drive traffic to it. Don’t neglect e-mail newsletters, direct
page. Ning offers both free and paid options. CONTINUED ON PAGE 6
5
7. JULY 2009
15
state-of-the-blogosphere/the-what-and-why-of-blogging/. 54% of blogs Junta42blog, http://blog.junta42.com/content_marketing_
tracked focused on personal/lifestyle subjects. 27% of blogs tracked fo- blog/2009/06/42-online-content-sharing-and-productivity-tools.html.
16
cused on business topics. For a good example of a social media policy template, see Law.
12
Quoted from the soon-to-be-released, yet-to-be-titled social networking com Legal Technology, Wong, James (June 15, 2009), “Draft-
book written by Jerry Work of Work Media Internet Marketing. Jerry gra- ing Trouble-Free Social Media Policies,” http://www.law.com/jsp/
ciously allowed me to review a draft copy. It is packed with useful infor- legaltechnology/pubArticleLT.jsp?id=1202431410095&src=EMC-
mation and it is not written in techo-speak. Any professional can pick it up Email&et=editorial&bu=LTN&pt=Law%20Technology%20News&cn=l
and glean helpful information immediately to allow them to get started in tnda_20090615&kw=Drafting%20Trouble-Free%20Social%20Media%2-
social media. Visit http://.workmedia.net to inquire about the book. 0Policies (Accessed June 17, 2009).
13 17
Wikipedia, http://en.wikipedia.org/wiki/Facebook. (Accessed June 14, 2009). Comment from Adrian Eden (June 10, 2009) to the post “5 Biggest Les-
14
Istrategylabs, http://www.istrategylabs.com/2009-facebook-demograph- sons I’ve Learned About Using Social Media” by Kelly Hutson (Pro-
ics-and-statistics-report-276-growth-in-35-54-year-old-users/ (Accessed Communicator.com). http://www.procommunicator.com/social-media/
June 14, 2009). the-5-biggest-things-ive-learned-about-using-social-media.
A Tale of Two FLP Estate Tax Cases:
Facts and Judges Differ
by Owen G. Fiore, JD then concluded the second round of contributed assets were
essentially testamentary in nature. Therefore, no discount was
Overview allowed as the FLP was ignored for estate tax purposes.
In the last issue of Business Valuation Alert, the author provided
a review of recent judicial decisions considering the gift and The Jorgensen Case
estate tax valuation discount viability of family limited partner- One readily can see where Tax Court Judge Haines was
ships (FLPs) and family limited liability companies (FLLCs). headed by a statement included in his opinion, namely, that it
In addition, “factors for success” with FLPs and FLLCs were was “…especially significant that the transactions were not at
outlined to encourage successful, positive planning. Now recent arms-length and that the partnerships held a largely untraded
cases underscore the importance of carefully developed plan- portfolio of marketable securities.” The court did not believe
ning and the necessity for monitoring FLP/FLLC plans. there was enough investment activity or that the use of the FLP
was needed, other than as merely a “discounting device.”
This article reviews the specifics and planning impact of two more
FLP estate tax cases, namely, Estate of Erma V. Jorgensen v. Com- The author has discussed the opinion with the estate’s counsel
missioner1 and Estate of Valeria Miller v. Commissioner.2 and it appears possible that significant pro-taxpayer evidence
was overlooked or discarded by the court, so an appeal to the
Perhaps the primary lesson to be learned in analyzing these 9th Circuit Court of Appeals is possible.
new cases is that each FLP/FLLC case is unique, not only by
reason of varying facts but also due to the individual Tax Court 1. Facts Are Important. Col. Jorgensen, a lawyer and career U.S.
judge’s evaluation of case specifics and developed views on Air Force pilot, directed the family’s financial affairs. He gradu-
estate tax issues involved. ally and carefully built up over a $2 million marketable securities
portfolio. Gerald Jorgensen and his wife, Erma, were residents
While in neither of the recent Tax Court cases was valuation an of Virginia and had two children and six grandchildren.
issue at trial, business valuation appraisers can learn from these The thrust of the first of two FLPs, which was established
cases about the key factors considered important in determin- in 1995, was to develop a plan that would allow for annual
ing whether the pass-through entity—an FLP, FLLC or even gift transfers of partnership interests to the Jorgensen chil-
an S corporation—will be respected for estate tax purposes. dren and grandchildren. And, in point of fact, in the first
Respecting the entity is what brings into play the “fair market FLP, “discounting” was not even a goal!
value” determination of entity equity interests rather than only Col. Jorgensen died in 1996, and thereafter, in advising Erma
valuing the entity’s underlying assets. on her estate planning, two different lawyers emphasized valu-
ation discounts. Their letters, which left unsaid many points
In both Jorgensen and Miller, the FLP(s) owned principally mar- apparently, were obtained by the IRS through discovery pro-
ketable securities. While in Jorgensen, two separate FLPs failed ceedings. Judge Haines seemed to input to Erma Jorgensen and
to achieve estate tax recognition, the court in Miller recognized her family the lawyers’ suggestions, rather than to concentrate
the initial set of contributed assets to the FLP as resulting in a on Erma herself and her motivations for the partnerships.
35 percent valuation discount from net asset value (NAV); and CONTINUED ON PAGE 8
7
9. JULY 2009
documented approach, taking into account these two recent End Notes
1
cases as well as the “factors for success” presented in the Jorgensen v. Comm’r, T.C. Memo. 2009-66 (3/26/09).
2
previous article. FLP/FLLC planning most likely will remain Miller v. Comm’r, T.C. 2008-128 (5/27/09).
3
viable, but perhaps at greater risk and cost. Estate of Bongard v. Comm’r, 124 TC 95 (2005); see also, Estates of
Stone, T.C. Memo. 2003-309.
4
Owen G. Fiore, JD, FioreWealthPlanningConsulting, is a past Estate of Soberdash v. Comm’r, T.C. Memo. 1997-362.
5
contributor of BV Alert. His non-lawyer consulting practice 5 H.R. 436, the “Pomeroy Bill,” introduced January, 2009. Section
regularly involves valuation issues and the use of entities and 4 thereof proposes substantial restrictions on passive investment en-
techniques to preserve wealth. For more information (as well tity valuation discounts and also restrictions on minority discounts
as to obtain copies of regular newsletters on these and other where a family (with broadly determined attribution of ownership)
topics), go to Owen’s Web site at www.owenfiore.com. ◆ has control of the entity.
ASB Adopts New Disclosure Requirements for 2010–
2011 Edition of USPAP
At its public meeting in New Orleans, The Appraisal Foun- ered prior to accepting an assignment, disclosure must be made
dation’s Appraisal Standards Board (ASB) adopted revisions whenever the prior relationship is discovered. The disclosure
for the next edition of the Uniform Standards of Professional requirement applies to report certification.
Appraisal Practice (USPAP). The revised edition of USPAP
will be in effect for two years, starting January 1, 2010 and New Disclosure Requirement Necessary
ending December 31, 2011. for Preserving Public Trust
“We understand this new obligation may be unpopular
While the 2010-2011 edition of USPAP is scheduled to be avail- with some appraisers,” says Sandra Guilfoil, Chair of the
able on October 1, 2009, the ASB is recommending that appraisers ASB. She adds that the ASB is doing its best to provide
and their clients familiarize with the upcoming changes as soon as guidance regarding the new requirement which the ASB
possible. To facilitate this early education, the ASB has released believes to be necessary for securing public trust in the
Summary of Actions Related to Proposed Changes, a document appraisal profession.
that outlines and explains the upcoming changes to USPAP.
In a current climate with a focus on things like transparency in
ASB Highlights Two Changes financial transactions,” says Guilfoil, “the ASB did not believe
The ASB is highlighting two of the most significant chang- that USPAP was adequately serving public trust by allowing an
es to USPAP. One of these two changes is the elimination appraiser to complete an assignment without initially notifying
of the requirement for appraisers to allow clients access the client of any recent involvement with the property,”
to work files when preparing a Restricted Use Appraisal
Report. The ASB decided that this Ethics rule statement In addition to the Summary of Actions Related to Proposed
is unnecessary because of the existing requirement that Changes document, the ASB released a series of Q&As on the
all appraisal reports contain sufficient information to en- topic for additional guidance. The Q&A clarifies confidential-
able the intended users of the appraisal to understand the ity issues and other concerns. “We encourage appraisers and
report properly. users of appraisal services to read through the Summary of
Actions now, and thoroughly familiarize themselves with the
The second change the ASB anticipates will be more controversial. requirements well in advance of the January 1, 2010 effective
Under the 2010-2011 edition of USPAP, in the Conduct section date,” says Guilfoil.
of the Ethics Rule, appraisers will be obligated to notify clients of
any involvement with the subject property within the prior three The Summary of Actions Related to Proposed Changes (April 3,
years. The obligation covers services in regards to property as an 2009) can be accessed at The Appraisal Foundation’s Web site:
appraiser or in any other capacity, such as property management, www.appraisalfoundation.org/Summary_of_Actions_2010-
leasing, brokerage, auction, or investment advisory services. 11_USPAP. The USPAP Q&A (Vol. 11, No. 4, April 2009)
on the new disclosure requirement is available here: www.
Appraisers must provide this disclosure up front, prior to ac- appraisalfoundation.org/s_appraisal/bin.asp?SID=1&DID=1
cepting an assignment. If the prior involvement is not discov- 351&CID=12&VID=2&DOC=File.PDF. ◆
9
11. JULY 2009
Testing Criteria Figure 1
Long-lived assets are tested only when events or
changes in circumstances occur and potentially
cause them to be impaired. A listing of events or ASSET
GROUP
changes in circumstances provided in SFAS No.
144 is provided below. This list is illustrative,
though not comprehensive:
a. A significant decrease in the market price of GOODWILL
PP & E TRADEMARK CUSTOMER TECHNOLOGY (if asset group
a long-lived asset (asset group). RELATIONSHIPS =
b. A significant adverse change in the extent reporting group)
or manner in which a long-lived asset (as-
set group) is being used or in its physical
condition.
c. A significant adverse change in legal factors or in the busi- For purposes of this Statement, impairment is the condition
ness climate that could affect the value of a long-lived asset that exists when the carrying amount of a long-lived asset
(asset group), including an adverse action or assessment by (asset group) exceeds its fair value. An impairment loss
a regulator. shall be recognized only if the carrying amount of a long-
d. An accumulation of costs significantly in excess of the lived asset (asset group) is not recoverable and exceeds
amount originally expected for the acquisition or construc- its fair value. The carrying amount of a long-lived asset
tion of a long-lived asset (asset group). (asset group) is not recoverable if it exceeds the sum of the
e. A current-period operating or cash flow loss combined with undiscounted cash flows expected to result from the use
a history of operating or cash flow losses or a projection or and eventual disposition of the asset (asset group). That
forecast that demonstrates continuing losses associated with assessment shall be based on the carrying amount of the
the use of a long-lived asset (asset group). asset (asset group) at the date it is tested for recoverabil-
f. A current expectation that, more likely than not, a long- ity, whether in use (paragraph 19) or under development
lived asset (asset group) will be sold or otherwise disposed (paragraph 20). An impairment loss shall be measured as
of significantly before the end of its previously estimated the amount by which the carrying amount of a long-lived
useful life. asset (asset group) exceeds its fair value.
Over the past six to nine months, many companies have expe- Step 1: Testing the Assets for Recoverability
rienced a triggering event, resulting in an increase in the need
for impairment testing of long-lived assets. In Step 1, the assets are tested for recoverability. This involves
comparing the undiscounted cash flows of the asset group with
Testing Methodology its carrying value. There are several key inputs in completing
The structure of the testing of long-lived assets is a controver- the undiscounted cash flow test:
sial issue—many valuers believe (View 1) that assets are ag- CONTINUED ON PAGE 12
gregated (regardless of whether they are tangible or intangible
assets) and tested at the lowest level for which identifiable Figure 2
cash flows are largely independent of the cash flows of other
groups of assets and liabilities.
COMPANY
While others believe (View 2) that the FASB only meant for PP&E
assets to be grouped while intangible assets should be tested indi-
vidually, as cash flows relating to intangible assets can be identi-
fied (similar to the approach used in a purchase price allocation)
and therefore represent the lowest levels of cash flows. REPORTING
UNIT 1 REPORTING UNIT 2
Our interpretation of the guidance is consistent with the former
and, as such, it is our belief that assets should be grouped at
the lowest level of independent cash flows and that the asset
group can include both tangible and intangible assets.
ASSET ASSET ASSET ASSET
GROUP GROUP 1 GROUP 2 GROUP 3
Impairment testing of long-lived assets is a multi step process.
Paragraph 7 of SFAS No. 144 describes impairment as follows:
11
13. JULY 2009
unit is calculated and compared to the Table 2
carrying value to determine if impairment Asset Group Book % of Fair Pro –Rata Allocation Adjusted Book
exists. If the fair value is less than the 3 Value Total Value Allocation of Value
carrying value, further calculations are impairment
required in order to determine the fair Working $10 n/a 0 0 $10
value of goodwill. Capital
Fixed Assets 20 40% 18 4 2 18
The level of testing for goodwill impair-
ment is somewhat controversial. Some
valuers (View 1) believe that Step 1 of Customer 10 20% 12 2 0 10
goodwill impairment testing should be relationships
completed at a total asset or enterprise
Technology 20 40% 7 4 8 12
value level, while others (View 2) believe
that Step 1 of goodwill impairment testing Total 60 10 10 50
should be completed at the equity level.
While there are a number of arguments
on either side, it is our belief that the including goodwill.....If the fair value of a reporting
enterprise value level is most appropriate because it is more unit exceeds its carrying amount, goodwill of the
objective in determining whether or not asset impairment reporting unit is considered not impaired, thus the
is indicated. Testing at the equity level may be skewed by second step of the impairment test is unnecessary. If
negative equity or by complications in the determination of the carrying amount of a reporting unit exceeds its
the value of equity after consideration of the fair value of fair value, the second step of the goodwill impair-
debt without reflection of the ability to adhere to specific ment test shall be performed to measure the amount
payment terms. of impairment loss, if any.
Testing Criteria The fair value is determined consistent with SFAS No. 157.
SFAS No. 142 requires companies to test for impairment an- In addition, the value of the reporting unit should consider (as
nually or more frequently if an event occurs or circumstances per EITF 02-13) whether the reporting unit would be sold in
change that would more likely than not reduce the fair value a taxable or non-taxable transaction.
of a reporting unit below its carrying amount. The indicators
noted are as follows: This calculation is fairly complex and will likely require
assistance from the company’s tax department in order
a. A significant adverse change in legal factors or in the busi- to determine if any incremental value would arise from
ness climate. structuring the sale of the reporting unit in a taxable or
b. An adverse action or assessment by a regulator. non-taxable transaction. There is a debate whether this
c. Unanticipated competition. is within the scope of services provided by the valuation
d. A loss of key personnel. professional.
e. A more-likely-than-not expectation that a reporting unit
or a significant portion of a reporting unit will be sold or In the current economic environment, the equity of many
otherwise disposed of. companies is trading at values below their carrying values
f. The testing for recoverability under Statement 144 of a (i.e., their market capitalization is below the carrying value
significant asset group within a reporting unit. of their book equity). While this is not an absolute indication
g. Recognition of a goodwill impairment loss in the financial state- that goodwill impairment exists, it is a significant identifier
ments of a subsidiary that is a component of a reporting unit. that goodwill impairment may exist whether the test is com-
pleted at the equity or enterprise value level. As part of this
issue, companies, valuers, and auditors have seen a renewed
Testing Methodology discussion of control premiums. For example:
Step 1: Identifying Potential Impairment
■ Does the market capitalization reflect the fair value of a
The excerpt below from paragraph 19 of SFAS No. 142 high- company?
lights the Step 1 test: ■ What if the company consists of multiple reporting units?
■ Does the market value of a company’s equity reflect the
19. The first step of the goodwill impairment test, fair value of debt or the obligation related to debt from the
used to identify potential impairment, compares the perspective of equity holders?
fair value of a reporting unit with its carrying amount, CONTINUED ON PAGE 14
13
15. JULY 2009
Calendar
AUGUST NACVA. The National Association of Certified Valuation
Analysts is offering a Business Valuation and Certification
ASA. The American Society of Appraisers is offering the Training Center on September 14–19 in San Francisco,
courses The Market Approach and Valuation of Intangible CA and on September 21–26 in Chicago, IL. Contact:
Assets for Financial Reporting Purposes from August NACVA, 1111 Brickyard Road, Suite 200, Salt Lake City,
13–16 at the Double Tree Hotel and Conference Center, UT 84106-5401; call 800-677-2009 or 801-486-0600; or
Chicago North Shore, Skokie, IL. Contact: American Soci- fax 801-486-7500.
ety of Appraisers Headquarters, 555 Herndon Pkwy, Suite www.nacva.com
125, Herndon, VA 20170; call (800) ASA-VALU.
www.appraisers.org IBA. The Institute of Business Appraisers is offering
the courses Essentials of Business Appraisal on Sep-
NACVA. The National Association of Certified Valuation tember 21–25, Business Appraisal Review Accreditation
Analysts is offering a Business Valuation and Certification Workshop on September 22–26, Report Writing, Review
Training Center on August 10–15 in Philadelphia, PA and on & Analysis on September 23–24, and Preparation for
August 17–22 in Milwaukee, WI. Contact: NACVA, 1111 the CBA Written Exam on September 26, at the Palmer
Brickyard Road, Suite 200, Salt Lake City, UT 84106-5401; House Hilton Hotel, Chicago, IL. Contact: IBA, P.O.
call 800-677-2009 or 801-486-0600; or fax 801-486-7500. Box 17410, Plantation, FL 33318; call 954-584-1144;
www.nacva.com or fax 954-584-1184.
www.go-iba.org
AICPA. The American Institute of Certified Public Ac-
countants is offering the AICPA National Business Valu-
ation School on August 17–21, Lewisville, TX. Contact:
AICPA Member Service Center, Conferences, 220 Leigh
OCTOBER
Farm Road, Durham, NC 27707-8110; call 888-777-7077; ASA. The American Society of Appraisers is offering the
or fax 800-870-6611. courses CAVSMC—Monte Carlo Simulation: Extensions
www.cpa2biz.com/conferences in Valuation Part I on October 17, CAVSRO Real Options
Valuation: Extensions in Value Part II on October 18,
CAVS123R—CAVS123R/409A on October 21-22, and
SEPTEMBER CAVSCC—Cost of Capital on October 21–22, at the
Boston Marriott Copley Place, Boston, MA. The ASA
ASA. The American Society of Appraisers is offering the is also offering the courses The Income Approach and
courses Introduction to Business Valuation and Business Introduction to Business Valuation from October 1–4 at
Valuation Case Study from September 10–13 at the Loews the Manhattan Beach Marriot, Manhattan Beach, CA.
Annapolis Hotel, Annapolis, MD. Contact: American Soci- Contact: American Society of Appraisers Headquarters,
ety of Appraisers Headquarters, 555 Herndon Pkwy, Suite 555 Herndon Pkwy, Suite 125, Herndon, VA 20170; call
125, Herndon, VA 20170; call (800) ASA-VALU. (800) ASA-VALU.
www.appraisers.org www.appraisers.org
AICPA. The American Institute of Certified Public Ac- NACVA. The National Association of Certified Valuation
countants is offering the AICPA National Forensic Account- Analysts is offering a Business Valuation and Certification
ing Conference on September 23–25, San Francisco, CA. Training Center on October 26–31 in New Orleans, LA.
Contact: AICPA Member Service Center, Conferences, 220 Contact: NACVA, 1111 Brickyard Road, Suite 200, Salt
Leigh Farm Road, Durham, NC 27707-8110; call 888-777- Lake City, UT 84106-5401; call 800-677-2009 or 801-486-
7077; or fax 800-870-6611. 0600; or fax 801-486-7500.
www.cpa2biz.com/conferences www.nacva.com
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