PwC's accounting podcast

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In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.

We’ve been focusing on geopolitical trends around the world lately and thought this week we would talk about our corner of the globe. This week, host Heather Horn sat down with Chris Benko, PwC’s US Senior Economist, to gather insight into the macroeconomic health of the US and its place in the world. 

Topics include:

• 1:15 - Overall economic health. Chris believes we’ve moved through the most volatile part of the recession and are in the early stages of the recovery, but he believes the recession was an accelerant in the bifurcation of our country’s concentration of wealth. 
• 5:17 - Inflation and labor. Chris explains that some inflation is okay. He does not think we will see above-average inflation. But a 9% unemployment rate indicates how much of this recovery is still ahead of us.
• 11:12 - Income inequality. There’s a mismatch in the market currently and the COVID recession is exacerbating the disparity in the workforce. Chris stresses the importance of putting people back to work and explains how this dynamic highlights the difference between the pace of growth and the underlying health of an economy.
• 15:10 - Skills, innovation, and infrastructure in the US. Chris explains why the US does not score well in global competitiveness and the importance of addressing structural issues and infrastructure investment to address this. He explains how infrastructure, specifically digital infrastructure, includes the fundamentals that support the sustainable functioning of an economy. Chris tells us how infrastructure investments would be funded and what that means for the economy. 
• 27:22 - Reshoring manufacturing investments. Chris suggests that companies should focus on having on-shore, near-shore, or contingency supply chains, depending on company strategy and risk appetite. He encourages CFOs to plan for an operating environment in which the US is no longer the unrivaled power it once was. 
• 30:36 - Other topics for CFOs to think about. Chris closes by explaining how the past year was a strong reminder that an economy is a finely balanced and delicate organism that is not pre-programmed or pre-ordained. He also looks to what may be the next economic catalysts. 

Chris Benko is PwC’s US Senior Economist, providing the firm and its clients with economic analysis and commentary. Chris leads a team of business and sector analysts, economists and data scientists, leveraging data and analytics to develop provocative points of view and inform strategic decision-making.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Finding embedded leases in your contracts is important to avoid misstating the balance sheet, and a lot of judgment is involved. Here to answer common questions, host Heather Horn is joined by Chad Soares and Marc Jerusalem to walk through the steps to identify embedded leases. 

Topics include:

• 0:47 - Guidance reminder. Before we get into how to identify embedded leases, Marc gives a refresher on the accounting and why this topic is top of mind for companies.
• 4:17 - Identifying embedded leases. As a general rule, an embedded lease exists if there is an explicit or implicit identified asset in the contract and the customer controls use of the asset. Chad and Marc walk through assessing if an arrangement contains an embedded lease, and covers related topics such as:
  • 7:09 - Substitution rights
  • 12:54 - Customer control over the use of the asset
• 22:08 - You have an embedded lease. Now what? Once you identify an embedded lease, the contract needs to be separated into its lease and nonlease components. Chad walks through the steps and key considerations.
• 28:25 - Final reminders. There are a lot of contracts that aren’t called a “lease,” but that still fall within this guidance. Marc and Chad close with some reminders and some other key takeaways.

Chad Soares is a partner in PwC's National Office focused on leasing and financing arrangements. He was a primary author of PwC’s lease accounting guide and contributes to a variety of thought leadership related to leasing and financial instruments. 

Marc Jerusalem is a director in PwC’s National Office specializing in leasing. As a leasing specialist, Marc consults with clients on complex lease accounting issues and is a contributor to many related PwC National office publications. 

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.

Geopolitically and economically, India is a complicated place to do business. This week, host Heather Horn sat down with Craig Stronberg, who leads PwC’s Intelligence team advising global and firm leadership on macroeconomic and geopolitical events, to get some insight on how companies are doing business in India, unpacking the challenges, opportunities, and what the future might hold for the third largest market in the world.

Topics include:

• 0:53 - Overview. Out of every country in the world that is not currently an economic powerhouse, India has the most promise. Craig begins with a brief introduction to India’s culture. 
• 4:20 - The opportunities. When thinking about where to start, Craig explains it’s not about what’s offered there now, it’s about what’s not there yet and the investment and partnership potential.
• 9:08 - The challenges. While the economic potential is there, Craig and Heather discuss the other side of the coin that is the challenges of doing business with a still developing country.
• 26:32 - What the CFO should know. Craig explains the importance of adapting to different business practices and stresses the complex regulatory environment. 
• 30:12 - Outlook. What will it take to transform India’s economy into one that has more industrial might and scale? Craig closes with his predictions.

Want to learn more? Explore PwC's 24th Annual Global CEO Survey.

Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. He focused on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.

Geopolitically and economically, India is a complicated place to do business. This week, host Heather Horn sat down with Craig Stronberg, who leads PwC’s Intelligence team advising global and firm leadership on macroeconomic and geopolitical events, to get some insight on how companies are doing business in India, unpacking the challenges, opportunities, and what the future might hold for the third largest market in the world.

Topics include:

• 0:53 - Overview. Out of every country in the world that is not currently an economic powerhouse, India has the most promise. Craig begins with a brief introduction to India’s culture. 
• 4:20 - The opportunities. When thinking about where to start, Craig explains it’s not about what’s offered there now, it’s about what’s not there yet and the investment and partnership potential.
• 9:08 - The challenges. While the economic potential is there, Craig and Heather discuss the other side of the coin that is the challenges of doing business with a still developing country.
• 26:32 - What the CFO should know. Craig explains the importance of adapting to different business practices and stresses the complex regulatory environment. 
• 30:12 - Outlook. What will it take to transform India’s economy into one that has more industrial might and scale? Craig closes with his predictions.

Want to learn more? Explore PwC's 24th Annual Global CEO Survey.

Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. He focused on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts are available upon request. Please send requests to [email protected].

The FASB and the IASB each have projects on the subsequent accounting for goodwill and the implications may be bigger than whether one or both boards adopt an amortization model. Host Heather Horn sits down with Andreas Ohl, PwC National Office partner, and Ruth Preedy, PwC director and IFRS accounting specialist, to discuss the status of both projects, where they converge and diverge, and how the projects might develop. 

Topics include:

• 0:44 - Summary of the FASB’s goodwill project. Andreas begins with an update on the FASB’s goodwill project, providing a brief history, outlining its scope, and sharing the discussion from the FASB’s March 2021 meeting.
• 5:41 - Summary of the IASB’s goodwill project. Ruth starts by clarifying that the IASB’s project differs from the FASB’s and then shares some background on the IASB’s project scope.
• 10:07 - The FASB’s and IASB’s tentative changes to the impairment test. Ruth and Andreas share the changes to the impairment test being discussed by each board. 
• 12:31 - Comment letters. Next, we cover themes from comment letters received on both projects. We talk about some of the differences and similarities expressed in stakeholders’ letters.
• 34:04 - What’s next? Andreas and Ruth share the next steps for each project.

Want to learn more? Read our Point of view, The unbalanced balance sheet: Making intangibles count.  

Andreas Ohl is a partner in PwC's National Office focused on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group. 

Ruth Preedy is a PwC director and the IFRS Pharmaceutical Leader. Ruth previously hosted PwC’s IFRS Talks podcasts, covering IFRS accounting and reporting updates. Ruth specializes in navigating issues related to fair value measurement, impairment, and business combinations. 

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts are available upon request. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.

China is talked about a great deal in the press with many businesses wondering how trade partnerships will change over time. This week, host Heather Horn sat down with Craig Stronberg, who leads PwC’s Intelligence team advising global and firm leadership on macroeconomic and geopolitical events, to get some insight on the geopolitical landscape in China, clear-up common misconceptions, and discuss what the future might hold.

Topics include:

• 0:56 - Overview. We begin by setting the stage covering some of the big questions businesses are asking, including how the new administration is affecting policy and how business is being done between China and the US.  
• 13:50 - Supply chain considerations. What are the alternatives to manufacturing in the region? Craig shares considerations of doing business with other potential markets and also covers US reshoring incentives.
• 25:51 - Doing business with China. Craig and Heather discuss the effects protectionism is having on business and look at which industries are most at risk. 
• 30:47 - What the CFO should know. Whether you’re trading with China or have a supply chain in the region, Craig stresses the importance of understanding the cyber and data regulatory landscape. 
• 35:03 - Best practices. Craig shares what other companies are doing.
• 37:27 - Outlook. Will China displace the US as the world’s largest economy? We close by offering some predictions.  

Want to learn more? Explore PwC's 24th Annual Global CEO Survey and related webcast.

Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. He focused on numerous areas including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration and support to major events such as the Olympic Games.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

With the SEC’s new human capital disclosure rules now effective, PwC looked at more than 2,000 Form 10-K filings to understand what companies disclosed. In this episode, Heather Horn sits down with PwC’s Sheri Wyatt and Brandon Yerre to look at what human capital disclosure trends we saw in this year’s reporting season. 

Topics include:

• 0:49 - Background. We begin with a refresher on the SEC’s new human capital rules and the types of measures and objectives required. 
• 2:30 - Analysis overview. Sheri walks through an overview of our analysis of the disclosures in recent 10-Ks.
• 6:16 - Trends. Next, we summarize some of the human capital disclosure trends. 
• 16:05 - SEC insights. We discuss feedback from the SEC staff on some early filers’ disclosures. 
• 19:23 - Key focus areas. While there is no one-size-fits-all approach, there are important considerations to think through when deciding which disclosures to make. 
• 23:24 - Where do we go from here? We share some insights on how human capital disclosure rules might evolve.

Want to learn more? Read our In the loop, New human capital disclosure rules: Getting your company ready.

Sheri Wyatt is a partner in PwC’s sustainability practice and also serves as the diversity leader for the US Assurance line of service. She has over 20 years of experience advising companies on the adoption of new accounting and financial reporting standards, from assessing current state through operationalizing compliance with new standards and policies.

Brandon Yerre is a principal in PwC’s Organization and Workforce Transformation group. Brandon specializes in matters dealing with the design, implementation, and governance of total reward programs and the development of organization-wide job architectures to support workforce strategy and planning.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

As the first quarter of 2021 comes to a close, listen as host Heather Horn and a panel of PwC partners highlight what companies should be thinking about for their interim reporting.

Topics include:

• 0:47 - New accounting standards to consider. We begin with reminders of new guidance effective (or early adoptable) for calendar year-end public companies this quarter. 
• 19:01 - Trends from the quarter. Next, we cover top consultation trends and areas of interest from the past quarter. 

Want more quarterly resources? Read our The quarter close — First quarter 2021 or watch our Q1 2021 Quarterly accounting webcast.

Tom Barbieri is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has nearly 30 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in the National Office, he has been at the forefront of emerging accounting issues and has regular interactions with the FASB, SEC, and other regulators and standard setters. 

Pat Durbin is a Deputy Chief Accountant in PwC’s National Office and the leader of the revenue and liabilities division. He has nearly 30 years of experience consulting with clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.  

Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.

Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office, working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.

Cyber risk is a top priority for businesses; and, considering every business can be vulnerable, targeted, and attacked, businesses are changing their cyber strategy and investing more. But, are those investments in the right areas? This week host Heather Horn sat down with Joseph Nocera, leader of PwC's Cyber & Privacy Innovation Institute, and Harshul Joshi, a PwC cybersecurity, privacy, and forensics principal, to understand cybersecurity risks and the leading practices for limiting exposure and recovering quickly.

Topics include:

• 0:59 - The hallmarks of good cybersecurity. Even the best can be breached, so what’s a company to do? We begin with the fundamentals of baking cybersecurity into every business decision and allocating cyber spend to technologies, processes, and developing talent.
• 7:41 - The 5 levers of security. We discuss leading practices for developing a risk management strategy: identification, prevention, detection, response, and recovery.
• 13:12 - Types of cyber attacks. Cyber attacks come in two flavors:
  • 13:51 - External cyber attacks
  • 19:21 - Internal cyber attacks
• 22:36 - Addressing the gaps. In addition to information technology considerations, attention also needs to be given to operational technology (OT). We discuss what that means and the cyber risk challenges in OT environments.
• 37:38 - Detection and response. You’ve had an attack, now what? We talk about early warning signals and key considerations post-breach.
• 40:09 - What’s next in cybersecurity. We close with thoughts on the increasing role privacy plays in cybersecurity and the rise of quantum computing.

Want to learn more? Read PwC's 2021 Global Digital Trust Insights and PwC’s Digital Trust Insights Pulse Survey.

Joseph Nocera is the leader of PwC's Cyber & Privacy Innovation Institute. Joe’s experiences range from IT auditing to large scale systems implementation. He has extensive experience helping organizations meet regulatory demands and build information security departments, information risk management functions, and effective IT governance functions.

Harshul Joshi is a PwC cybersecurity, privacy, and forensics principal with more than 17 years of experience in the fields of regulatory compliance, cyber security, governance, risk, internal audit, and privacy. Harshul has a successful track record of working with various C-suite executives, regulatory bodies, and functional stakeholders to implement effective security programs.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.

Transcripts available