Valuation for Financial Reporting: Fair Value Measurements and Reporting, Intangible Assets, Goodwill and Impairment [Hardcover]

Michael J. Mard (Author), James R. Hitchner (Author), Steven D. Hyden (Author)

Book Description

ISBN-10: 0471680419 | ISBN-13: 978-0471680413 | Publication Date: September 28, 2007 | Edition: 2

Essential procedures for the measurement and reporting of fair value in Financial statements

Trusted specialists Michael Mard, James Hitchner, and Steven Hyden present reliable and thorough guidelines, case studies, implementation aids, and sample reports for managers, auditors, and valuators who must comply with the Financial Accounting Standards Board Statement of Financial Accounting Standards Nos. 141, Business Combinations; 142, Goodwill and Other Intangible Assets; 144, Accounting for the Impairment or Disposal of Long-Lived Assets; and the new 157, Fair Value Measurements.

This important guide:
*

Explains the new valuation aspects now required by SFAS No. 157
*

Presents the new definition of fair value and certain empirical research
*

Distinguishes fair value from fair market value
*

Provides a case study that measures the fair values of intangible assets and goodwill under SFAS Nos. 141 and 157
*

Includes a detailed case study that tests the impairment of goodwill and long-lived assets and measures the financial impact of such impairment under SFAS Nos. 142 and 144
*

Cross-references and reconciles the valuation industry's reporting standards among all of the valuation organizations
*

Includes two sample valuation reports, one of which is a new USPAP- compliant PowerPoint? presentation format
*

Includes implementation aids for controlling the gathering of data necessary for analyses and for guiding the valuation work program

Editorial Reviews

From the Inside Flap

Fair Value Measurements and Reporting, Intangible Assets, Goodwill, and Impairment
Second Edition

Financial reporting of intangible assets and goodwill now requires a focus. Company management, auditors, and valuation analysts must determine fair value of all assets acquired in accordance with SFAS No. 141, Business Combinations; SFAS No. 142, Goodwill and Other Intangible Assets; SFAS No. 144, Accounting for the Impairment or Disposal of Long-Lived Assets; and the new SFAS No. 157, Fair Value Measurements. This book is an essential guide that explains how to identify the characteristics of goodwill and intangible assets, determine if impairment has occurred, and employ specific methods to assess the financial statement impact of such impairment.

This Second Edition of Valuation for Financial Reporting provides practical implementation guidance to practition-ers, auditors, and their clients in the private and public sectors. This must-have guide explains the new valuation aspects now required by SFAS No. 157. The Second Edition:

• Presents the new definition of fair value and certain empirical research

• Explains the hierarchy requirements of SFAS No. 157

• Distinguishes fair value from fair market value

• Discusses best practices for the valuation of in-process research and development

• Presents detailed case studies and examples of applying and implementing SFAS Nos. 141, 142, 144, and 157

• Presents the SFAS Nos. 141 and 157 case study in a standard narrative valuation report and in a new USPAP-compliant PowerPoint® presentation format

• Examines the valuation industry's reporting standards with cross-referencing and reconciliation among all of the valuation organizations

From the Back Cover

Essential procedures for the measurement and reporting of fair value in Financial statements

Trusted specialists Michael Mard, James Hitchner, and Steven Hyden present reliable and thorough guidelines, case studies, implementation aids, and sample reports for managers, auditors, and valuators who must comply with the Financial Accounting Standards Board Statement of Financial Accounting Standards Nos. 141, Business Combinations; 142, Goodwill and Other Intangible Assets; 144, Accounting for the Impairment or Disposal of Long-Lived Assets; and the new 157, Fair Value Measurements.

This important guide:

• Explains the new valuation aspects now required by SFAS No. 157

• Presents the new definition of fair value and certain empirical research

• Distinguishes fair value from fair market value

• Provides a case study that measures the fair values of intangible assets and goodwill under SFAS Nos. 141 and 157

• Includes a detailed case study that tests the impairment of goodwill and long-lived assets and measures the financial impact of such impairment under SFAS Nos. 142 and 144

• Cross-references and reconciles the valuation industry's reporting standards among all of the valuation organizations

• Includes two sample valuation reports, one of which is a new USPAP- compliant PowerPoint® presentation format

• Includes implementation aids for controlling the gathering of data necessary for analyses and for guiding the valuation work program

See all Editorial Reviews

Product Details

• Hardcover: 240 pages
• Publisher: Wiley; 2 edition (September 28, 2007)
• Language: English
• ISBN-10: 0471680419
• ISBN-13: 978-0471680413
• Product Dimensions: 9.1 x 6.1 x 0.9 inches
• Shipping Weight: 1.1 pounds
• Average Customer Review: 4.0 out of 5 stars  See all reviews (1 customer review)
• Amazon Best Sellers Rank: #1,256,961 in Books (See Top 100 in Books)

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Customer Reviews

Most Helpful Customer Reviews

2 of 2 people found the following review helpful:

4.0 out of 5 stars Praise for Valuation for Financial Reporting, March 10, 2008

By 

Katherine L. Upton "KLU" (Oklahoma, USA) - See all my reviews
(REAL NAME)   

This review is from: Valuation for Financial Reporting: Fair Value Measurements and Reporting, Intangible Assets, Goodwill and Impairment (Hardcover)

As a graduate accounting student, I read this book for an Accounting Information Systems seminar course. I found the book to be not only full of useful information, but also very reader-friendly. The authors' organization of the book, which is broken into three main sections: 1) Introduction and History, 2) FAS 141 and, 3) FAS 142 was very clear and easy to follow. Additionally, and perhaps the most important feature of the book were the in-depth examples of how to value various intangible assets given in following the explanation of FAS 141. Then, the author continued with the same examples when discussing application of impairment testing found in FAS 142.

For many accounting students, myself included, the idea of auditing the values placed on intangible assets is rather daunting; however, the authors' did an excellent job giving valuers a jumping point from which to begin their analysis. The book also provided a timeline of FASB statements and pronouncements dealing with valuation of mergers and acquisitions. Particularly interesting was the discussion of the need for new guidance as the numbers of mergers and acquisitions increased heavily over the last decade.

The only criticism of the book was the lack of future-looking information regarding upcoming changes to the current practices. Additionally, the issues of valuing existing at-will workforces, as well as the future of R&D costs were only touched on, and further information would have been appreciated. Finally, I might have included some analysis of the differences between the FASB's requirements for merger and acquisition accounting compared to the International Standards available on the issues. Other than these small issues, however, I found the book invaluably useful.

I would sincerely recommend this book to any person interested in understanding the implications and application of FAS 141 and 142.