PwC's accounting podcast

After looking at CECL disclosures from the first three quarters of 2020, we’ve noted some clear trends. In this timely episode, host Heather Horn is joined by Chip Currie and Jonathan Odom, two PwC National office partners, to discuss CECL disclosures and share important reminders as calendar year-end companies dive into their year-end reporting cycle.

Topics include:

• 0:45 - Introduction. Before launching into the CECL disclosures, we highlight some changes made to the CARES Act deferral of CECL and troubled debt restructuring guidance as a result of the recent stimulus bill signed into law in December.
• 6:01 - Q3 2020—What we saw. We provide perspectives on how CECL-related disclosures have evolved through Q3 of 2020, including what we’ve heard from analysts.
• 14:18 - The FASB. The FASB has been actively working on their post-implementation review of the CECL accounting standard. In this section, we discuss what they’ve heard in terms of disclosures and share other observations on what we expect to come out of their review. 
• 16:58 - SEC comment letters. Any new developments or focus areas of the SEC? We take a look.   
• 18:22 - Final reminders. As companies prepare and refine their disclosures for their annual reports, we share some general best practices.

Chip Currie is a partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments for both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.

Jonathan Odom is an assurance partner in PwC’s National Office SEC services practice with over 20 years of experience in providing accounting and advisory services to the financial services sector. 

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].

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Let’s face it - as we approach year-end reporting, the pandemic is top of mind for most preparers. That’s why in this episode, Heather Horn and a team of PwC National Office partners come together to help listeners understand key year-end accounting and reporting considerations related to the impacts of COVID-19.

Topics include:

• 1:22 - Debt modifications
• 5:43 - Lease modifications
• 8:32 - Lease abandonment
• 12:18 - CECL considerations
• 15:06 - Fair value 
• 20:33 - Impairment
• 26:01 - Strategic disposals
• 29:29 - Revenue and receivables
• 35:22 - Government grants
• 40:15 - Restructuring and compensation
• 42:42 - SEC reminders

Tom Barbieri is a PwC partner and the Financial Instruments Accounting Leader in PwC’s National Office. He has over 29 years of experience advising clients on complex accounting financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the Financial Accounting Standards Board, SEC, and other nationally renowned accounting experts.

Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments. 

Jay Seliber is a partner in PwC’s National Accounting Services group with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of revenue recognition, M&A, stock compensation, employee benefits, restructurings, impairments, and financing transactions.  

Ryan Spencer is a partner in PwC's National Office specializing in SEC financial reporting matters. He has over 20 years of experience serving clients in the technology and life sciences industries and is a frequent contributor to PwC’s publications and communications.

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].

A lot has happened this year that impacts leasing arrangements and your financial statements. In this timely episode, host Heather Horn is joined by Chad Soares and Marc Jerusalem to talk about some of the lease accounting issues in the commercial real estate area that are top-of-mind for companies in the current environment. 

Topics include:

• 0:56 - Rent concessions. We begin with a refresher on the relief provided by the FASB and cover some common lessee/lessor questions when applying the new guidance.
• 15:19 - Lease abandonment. As a result of the pandemic, many companies are reassessing their real estate footprint and reconsidering their needs for leased space going forward. We discuss what companies should be thinking about when it comes to subleases and abandonments.
• 25:29 - Partial terminations. Many companies are looking for ways to cut costs, including modifying but not completely terminating a lease. We explain the accounting for partial terminations.
• 28:01 - Lasting impacts. Companies will likely rethink how some provisions are drafted in future agreements. We discuss lease negotiations and the accounting going forward. 

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].

Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the last episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Thomas Puthiyamadam, PwC’s Consumer Markets & Digital Products Leader, to look at who the winners are when investing in digital.

Topics include:

• 1:04 -  Overview. The pandemic has caused companies to be more digitally aggressive. We begin by looking at how product and service innovation is the key to rebuilding business and enhancing revenue.  
• 5:18 - Drive results. What distinguishes the companies who are seeing ROI on their digital investments? Tom outlines what it takes to be a transcender in four key points 
  • 8:36 - Make people the most important asset
  • 9:19 - Mandate change
  • 9:55 - Commit to your investments
  • 10:30 - Evolve your culture
• 14:54 - Find your hidden superpower. Tom helps companies tap into their hidden superpower to get ahead of disruption.
• 25:34 - Be resilient. To be resilient, you need to be flexible. Tom talks about the importance of having options for growth.
• 29:44 - Be brave. Now is the time to take big swings. We close by looking at how to maximize technology to gain momentum around innovation and new offerings.      

Thomas Puthiyamadam is PwC’s Consumer Markets & PwC's Digital Products Leader. In this role, he is responsible for leading the growth and reinvention of PwC’s travel, hospitality, consumer goods, and retail practice.

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].

A lot has happened this year that impacts financial statements and tax accounting, and judgment will be needed to work through it all. In this timely episode, host Heather Horn, along with PwC tax specialists Jenn Spang and Kassie Bauman, give helpful tax accounting reminders for year-end reporting.

Topics include:

• 0:47 - COVID-19. The impacts of COVID-19 have continued to add complexity and judgment to the accounting for income taxes. With the pandemic top of mind, we start by looking at some of the ways tax accounting has been impacted. 
• 2:43 - Goodwill impairment. As companies adopt the simplified goodwill standard, it’s especially critical that the financial accounting team doing the goodwill impairment analysis and the tax department work together. Jenn discusses the model and things to be on the lookout for.   
• 14:03 - Valuation allowances. A company’s valuation allowance analysis continues to be top of mind. Jenn and Kassie discuss what companies need to be thinking about, including reminders about forecasting.
• 24:43 - Outside basis. In light of the current environment, we discuss how a company's cash flows needs in the US might impact their intent and ability to indefinitely reinvest foreign earnings. 
• 29:32 - Uncertain tax positions. Tax laws and interpretations of laws continue to change. What should companies be focused on? Jenn boils it down to three main focus areas.

Jennifer Spang is a tax partner in PwC's National Office specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters. 

Kassie Bauman is a managing director in PwC's National office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including almost a decade of experience addressing complex technical accounting matters as part of our National office. 

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 over 25 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].

The 2020 AICPA Conference on Current SEC and PCAOB Developments included content focused on how all participants in the financial reporting ecosystem have a shared objective. Join Heather Horn, Valerie Wieman, and Kyle Moffatt as they discuss key takeaways from this year’s conference.

Topics include:

• 0:51 - Background and overall themes. Val kicks off our discussion giving some background on this year’s virtual conference, touching on the format and attendees.
• 1:54 - The search for fraud. Kyle discusses the SEC’s Enforcement Division’s initiatives intended to identify industry outliers and fraud. 
• 9:47 - SEC update. Kyle and Val provide the highlights from the SEC sessions, including new rules, comment letter trends, the technical topics covered in staff speeches, as well as a summary of which amendments can be applied now, and which need to wait until 2021. 
• 15:21 - FASB update. Val highlights the findings from the FASB’s in process post implementation reviews of the credit losses standard and updates us on the debate over the goodwill project.  
• 19:35 - COVID-19 update. COVID-19 was addressed in nearly all sessions. Val fills us in on the details.  
• 21:58 - The future of the profession. We wrap up sharing the conference’s overarching theme on the importance of diversity and technology upskilling.

Valerie Wieman is the National Office Editor-in-chief. She manages the creation, development, and publication of our brand-defining thought leadership. She is also responsible for Viewpoint, our new digital information platform. 

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 in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.

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 over 25 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].

Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Dr. Anand Rao, a PwC partner leading our Artificial Intelligence efforts globally, to look at how AI systems help solve problems and free up the finance professional for more strategic activities.

Topics include:

• 0:57 -  AI overview. Many consider AI to be an emerging technology, but the truth is that AI has been evolving for over 6o years. AI is a computer sensing, thinking, or acting. We begin by explaining what that means.
• 8:54 - Bias in AI. Anand explains the complex trust and bias issues that surround AI and stresses the importance of robust testing. 
• 18:51 - Uses of AI in the finance function today. The application possibilities for AI are countless. We discuss common areas of adoption and share practical examples. 
• 24:54 - Where to begin. If you’re just starting your AI journey, how can you get started? We discuss how leading organizations start small, then gain momentum. 

Dr. Anand Rao is a PwC partner leading Artificial Intelligence efforts globally. He is also the Innovation Lead for the US Analytics team. Anand works with C-level executives, advising them on a range of topics, including global growth strategies, marketing, sales, distribution and digital strategies, behavioral economics and customer experience, risk management, and statistical and computational analytics. 

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].

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With the results of the 2020 US election decided, it appears that Democrats will retake the White House and maintain control of the House - although control of the Senate will remain undecided until January 2021. While considering the potential tax, regulatory, and trade implications of the US election, many organizations continue to be challenged by the economic and human effects of the COVID-19 pandemic.

In this environment, many companies are looking to increase liquidity, including through restructuring programs, lease renegotiations, or strategic disposals of assets or businesses, and in some cases are considering the abandonment or sublease of unused real estate. We discuss accounting considerations for each of these in this edition.

Listen to this edition of The quarter close as we highlight these and other relevant accounting and reporting topics you should consider as we close-out 2020 and begin the year-end financial reporting season.

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

Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Scott Likens, PwC’s New Services and Emerging Technology Leader, to discuss the range of business benefits blockchain technology offers.

Topics include:

• 0:54 - Overview. Blockchain is a somewhat new, complex technology. We begin with the fundamentals: what it is and how it works.
• 5:35 - How it’s being used today. As more finance functions begin to integrate blockchain, we look at how it’s being used to eliminate intermediaries, accelerate timelines, and increase transparency.       
• 17:56 - Where to start. Knowing where to begin can be overwhelming. Scott shares his thoughts on starting small, repeatedly testing, and building internal knowledge around the values of blockchain technology.
• 22:25 - Challenges. We discuss the potential adoption barriers, such as privacy concerns, and emphasize the importance of collaboration and process controls. 
• 25:50 - What’s next? As we continue to get more digital, what does tomorrow look like for blockchain applications? We close by sharing our thoughts.

Scott Likens is PwC’s New Services and Emerging Technology Leader helping clients in diverse industries use emerging technologies (artificial intelligence, blockchain, customer experience, and other digital strategies) to grow their business. For over 20 years, Scott has worked in enterprise technology, including digital strategy and transformation, technology-enhanced business and IT strategy, enterprise architecture as it relates to emerging tech, agile engineering, e-commerce, advanced analytics, mobile technologies, and social customer engagement.

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 over 25 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].

The accounting is relatively straightforward when cash is received from a customer or paid to a vendor. But what if you receive cash from the vendor or pay the customer? When everything is reversed, the accounting is not as easy and it may be more common than you expect. In this episode, Angela Fergason and Jay Seliber, partners in PwC’s National Office, join host Heather Horn to help you think through the accounting implications.

Topics include:

• 0:44 - Overview. Before we begin navigating the accounting guidance, we set the stage by talking about why this topic generates so many questions and share common examples of transactions when this might occur. 
• 4:50 - Consideration paid to a customer (ASC 606). Angela explains the vendor’s accounting when payments are made to a customer, touching on related judgments and the timing of recognition.
• 15:59 - Consideration received from a vendor (ASC 705-20). Switching gears, Jay walks us through the guidance for situations when a customer receives money from a vendor, touching on the different models and sharing illustrative examples. 
• 29:52 - Final reminders. We close by sharing helpful reminders, highlighting the importance of assessing all of the relationships involved and not merely jumping to a default model.  

Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is  a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.

Jay Seliber is a partner in PwC’s National Accounting Services group with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of revenue recognition, M&A, stock compensation, employee benefits, restructurings, impairments, and financing transactions. 

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 over 25 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].