11/25/2009· Damages
Lost Inventory and Lost Profits Damage Formulas in Litigation
This article arose from an actual litigation. To protect the identity of the parties, I usefictional names.
11/25/2009· Damages
Lost Inventory and Lost Profits Damage Formulas in Litigation
This article arose from an actual litigation. To protect the identity of the parties, I usefictional names.
11/25/2009· Damages
Forecasting Cash Flow: Mathematics of the Payout Ratio
We all have used the Discounted Cash Flow (DCF) method. Many of us would agree that it is generally the best, most comprehensive, theoretically correct valuation model. It also has an empirical reason to be the best, which is that many of us calculate our discount rates using the Ibbotson data in the SBBI annual yearbooks, which are based on publicly traded stock data.
11/25/2009· Accounting
The Bias in Annual (Versus Monthly) Discounting is Immaterial
This article presents a discussion of the validity of using the mid-year convention from a different point of view than the March 2002 BVR article by Michael Dobner.
10/11/2017· Accounting
Determining a Distressed Debtor Company Discount Rate, Part 1
This is Part 1 of a two-part article. This part discusses valuations of distressed debtor companies based on discounted cash flows and considers the impact of the date and stage of distress. Next month, Part 2 will describe how the financial analyst derives the cost of capital for a distressed debtor company.
11/1/2017· Accounting
Determining a Distressed Debtor Company Discount Rate, Part 2
This is Part 2 of a two-part article. The first part (published in the January 2014 issue of Business Valuation Update) discussed valuations of distressed debtor companies based on discounted cash flows and considered the impact of the date and stage of distress. This part describes how the financial analyst derives the cost of capital for a distressed debtor company.
9/7/2017· Accounting
Mr. Bad Actor is a 61–year-old male who is the senior executive of the Unlucky Transportation Company. He has been in that position for more than ten years. Before his employment at the company, he worked for a series of unsuccessful transportation companies, where both he and other stakeholders lost most of their investment. He has ongoing legal and financial problems resulting from these prior business failures and from his failed marriage.
10/6/2017· Accounting
Confirming Worst Suspicions: Hire a Forensic Expert To Find Hidden Assets
By: Michael J. Garibaldi CPA, ABV, CFF, CGMA
When a client voiced strong suspicions that her soon-to-be ex-husband was hiding assets, her attorney investigated the claim but found nothing amiss. However, he hired a forensic accounting expert to help ensure his client would receive an equitable share of the marital estate. The expert turned up a trunkload of hidden treasure - undeclared cash income and property "stashed" under the names of the husband's mother and siblings.
6/15/2016· Accounting
Valuing a Professional Practice Requires In-depth Analysis
By: Michael J. Garibaldi CPA, ABV, CFF, CGMA
Goodwill can be a significant asset for a professional practice. It may include both "personal" goodwill that's attributable to individual owners and "business" goodwill that can be transferred to third parties. When accountants and other types of professionals divorce, the amount of goodwill to include in the marital estate can become contentious (and may vary depending on state law). If expert testimony on the issue is inadequate, a court might look elsewhere for help, as it did in a recent Texas divorce case, Hill v. Hill.
9/29/2020· Appraisal & Valuation
Part 2: AIRA Issues New Standards for Distressed Business Valuation
By: Michael Pakter
In this second article on AIRA Standards, the author discusses unique issues valuing distressed companies. These include the standard of value used, the premise of value, the intended use of the valuation, and cost of capital.
10/5/2019· Damages
Attaining Reasonable Certainty in Economic Damages (Part I of III)
By: Michael Pakter
The AICPA has issued two practice aids, one on 2015 and most recently in November 2018, focused on the calculation of economic profits and damages. The purpose of this article—the first of three on this topic—is to provide the reader with an understanding of Chapter 1...
by Timothy A. Dimoff
by Joe Carlen
by Chuck Easttom