For financial reporting purposes, intangible assets acquired need to be identified and valued according to generally accepted accounting principles (“GAAP”) and the appropriate methodologies are applied to value customer relationships, technology, trade names, patents or other identified intangible assets. Our appraisers have a deep knowledge of the Accounting Standards Codification (“ASC”) with respect to the valuation parameters required for financial reporting purposes for intangible assets.
Further, our valuation specialists interact with the financial statement auditors to be sure that there is an understanding in theory and the appropriate deliverable is defined.
GAAP rules regarding goodwill and business combinations also require management’s time to test and manage goodwill and intangible assets. We help our clients manage issues arising from accounting requirements.
A representative sample of the types of fair value measurement engagements we perform for financial reporting includes:
- Valuation of share-based payments under ASC Topic 718 Compensation and IRS Section 409A – Stock Compensation.
- Identification of intangible assets and determination of fair value under Topic 805 Business Combinations.
- Analysis and determination of goodwill impairment of individual reporting units under Topic 350 Intangibles – Goodwill and Others.
- Valuation of certain assets or liabilities under Topic 820 Fair Value Measurements and Disclosures including contingent consideration
- Determination of the value of derivatives and complex financial instruments under Topic 815.