Accounting Standards Update: Accounting for Identifiable Intangible Assets in a Business Combination

In recent Henry & Horne blog posts, we have discussed the implementation of new Financial Accounting Standards Board (FASB) Accounting Standards Updates due to The Private Company Council’s (PCC) diligent work in finding alternatives within U.S. Generally Accepted Accounting Principles warranted for private companies. In December 2014, the FASB formally issued Accounting Standards Update (ASU …

Keep Reading

Inventory Reserves

If you are a company that carries inventory, you should most likely have an inventory reserve accounting policy in place. Creating an inventory reserve is a proactive and conservative accounting approach that companies use to prepare for events such as spoilage, theft, obsolescence, and other adverse situations on their inventories. An inventory reserve is a …

Keep Reading

Simplified Accounting for Goodwill for Private Companies

As many people know, in 2012, the Private Company Council (“PCC”) was formed to assist in creating alternatives in accounting for private companies. In November 2013, the Financial Accounting Standards Board (“FASB’) endorsed the proposal regarding an alternative approach for private companies for accounting for goodwill after a business combination. This accounting alternative was issued …

Keep Reading

Business Combinations 101

Over the past year, there seems to be some increase in activity related to mergers and acquisitions (“M&A”).  When times are tough you typically see an increase in M&A activity as strong companies will act to buy other companies to create a more competitive, cost-efficient company.  M&A’s can come in various forms.  They can be …

Keep Reading