Description
Gain a better understanding of the FASB guidance and when it should be used.Companies prepare separate financial statements of their subsidiaries for various reasons, such as spinoffs, regulatory requirements, or compliance with debt covenants. Pushdown accounting establishes a new basis for reporting assets and liabilities in the acquiree’s separate financial statements based on a pushdown of the acquirer’s new bases. Pushdown typically results in stepping up the basis of assets and liabilities to fair value and recording goodwill in the acquiree’s financial statements. This course expounds on the fundamental concepts of pushdown accounting.
Date: 2023-08-23 Start Time: End Time:
Learning Objectives
Pushdown Accounting
• Definition
• Election
Definition of Fair Value
Types of Investments
• Fair Value Method (ASC 321)
• Equity Method and Joint Ventures (ASC 323)
• Asset Acquisition (ASC 805)
• Business Combination (ASC 805)
Implication of Pushdown Accounting
• Obtaining Control of a Business
• ASU 2014-17
• Reasons for Pushdown Accounting
• Example
Pushdown Accounting Mechanism
• Pushdown Election
• Goodwill and Negative Goodwill
• Acquisition-Related Liabilities
• Contingent Considerations
• Deferred Revenue Liabilities
• Income Taxes
• Acquisition-Related Costs
• Foreign Currency Translation
Disclosures
• Presentation of Predecessor and Successor
• Example of Disclosures
Summary and Conclusion
AIPB ,Additional credit may be available upon request. Contact Lorman at 866-352-9540 for further information.
Josef Rashty, CPA, Ph.D. (candidate)-Josef Rashty, CPA
