The FASB’s rules for fair value measurement are complex and dynamic. Clients trust Prairie’s team to conform with best practices across fair value appraisal standards. Whether an accounting team is well-versed in ASC or they are partnering with their first institutional investor, our team will help navigate the process in a timely manner. Our experienced team of valuation specialists have earned the respect of the nation’s largest audit firms to ensure
the review process runs efficiently and collaboratively.
Purchase Price Allocation (ASC 805)
Stock-based Compensation (ASC 718)
Indefinite-lived Asset Impairment Testing (ASC 350)
Long-lived Asset Impairment Testing (ASC 360)
Acquisition accounting as prescribed by ASC 805, applicable to business combinations, outlines the various fair value considerations for intangible (i.e., customer-related, technology-based, marketing-related, artistic-related, and contract-based) and tangible assets and liabilities. Our team brings expertise to all intangible asset, contingent consideration, inventory and deferred revenue valuations needed for the opening balance sheet.
At the grant date, when equity is issued in the form of compensation, a company must expense the fair value of the compensation through the income statement. We calculate the enterprise value of the company then integrate our fair value determination by isolating the subject equity security in the capital structure.
External capital market factors as well as many internally derived triggering events have a significant impact on valuations. As complex rules related to fair value reporting continue to attract regulatory scrutiny, the complexities prescribed by the rules for impairment testing frequently require Prairie’s technical expertise and industry experience. Our team reasonably and cost-effectively helps companies perform qualitative or quantitative analyses. We work closely with corporate accounting teams and external auditors to produce a reasonable valuation for the impairment determination.