PwC's accounting podcast

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].

To help you prepare your year-end financial statements, listen to PwC partners Heather Horn, Ryan Spencer, and Kyle Moffatt give their observations from SEC comment letters made public in 2020. In addition to discussing top areas of interest—including COVID-19, revenue recognition, non-GAAP, MD&A, and segment reporting—they also provide a few best practices for responding to SEC comments.

Topics include:

• 0:46 - Overview. As former Chief Accountant and Disclosure Program Director in the SEC’s Division of CorpFin, Kyle shares his unique perspective on the SEC’s filing review program and all the parties involved.
• 10:27 - Overall trends. Ryan shares his observations with respect to the overall trends in SEC comment letters in 2020, including:
  • 13:16 - MD&A
  • 17:07 - COVID-19
  • 18:46  - Non-GAAP
  • 25:37 - Revenue recognition
  • 27:29 - Segment reporting
• 31:02 - Best practices. Before wrapping up, Ryan and Kyle provide a handful of best practices on the most effective way to respond to comment letters.

Ryan Spencer is a Partner at PwC's National Office specializing in SEC financial reporting. He has over 20 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.

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 Paul Gaynor, leader of PwC’s Technology Consulting and Alliances businesses, and Scott Behrens, a PwC partner and information technology leader, to better understand the ways cloud-based business solutions are modernizing the workday. 

Topics include:

• 1:00 - How businesses are using cloud technology. Whether it’s better analytics and the presentation of data, or having the ability to quickly develop new applications, we begin with an overview of how the cloud is transforming the way businesses run.
• 4:25 - Solving today’s problems. Every functional area within the business can leverage cloud capabilities to drive transformation and growth. We discuss how cloud technologies have evolved from being just a cost-saving play.       
• 11:49 - Adopting a new way of working. As businesses move into the cloud, it’s important to manage this new investment. We discuss the  behaviors and procedures organizations should have in place.   
• 28:55 - The future of cloud technology. Cloud technology has given organizations the opportunity to rethink how to run their business—and that’s exciting. We close with a look at how the cloud will drive new products, business models, and a digitally-enabled workforce.

Paul Gaynor is the Global Technology and Alliance Consulting Leader with responsibility for setting PwC’s network Technology and Alliance Consulting vision and strategy. Previously, Paul led the US Technology Sector and Management Consulting capabilities for Technology, Information Communication and Entertainment, and Consumer, Industrial Products sectors. In addition, Paul served as the Global Relationship Partner for several Technology clients, and was team member in building PwC’s working capital and revenue assurance businesses.

Scott Behrens is a PwC partner with Strategy& and its Information Technology leader. With proven credentials in technology strategy and the alignment of IT strategies with associated business goals, Scott has extensive experience improving business performance through the design of new strategies and the creation of new capabilities and assets that support sustained value. Scott has significant experience in the analysis of process and technology architectures and in the quantification and direct capture of business benefits for the continued success of an organization.

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].

Did you miss this year’s FEI Corporate Financial Reporting Insights Conference? We have you covered. In this episode, Valerie Wieman and Kyle Moffatt, both partners in PwC’s National Office, join host Heather Horn to provide their perspective on what we heard at the FASB and SEC sessions.

Topics include:

0:50 - Background and overall themes. We kick off our discussion with some background on the conference and summarize this year’s presenters. 

2:02 - FASB standard setting update. Val discusses the remarks given by the FASB’s new chairman, Rich Jones, and new technical director, Hillary Salo, highlighting their key initiatives and areas of focus. Val also shares what we heard about the FASB’s agenda for the rest of the year and beyond. 

10:50 - SEC update. Kyle provides the highlights from the SEC sessions, including OCA’s priorities and the common questions fielded from consults with Corp Fin.

16:00 - The COVID-19 environment. Not surprisingly, there was some discussion of the reporting implications of the COVID-19 pandemic. Kyle highlights the three key areas of focus: MD&A, goodwill impairment, and non-GAAP measures and metrics  

20:05 - Wrap up. We close by discussing the primary messages that stood out during this year’s conference.

Valerie Wieman is an assurance partner in PwC’s National Office where she develops content and supports the creation of brand-defining thought leadership publications and communications.

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 Wes Bricker, PwC’s Vice Chair and Assurance Leader for the US and Mexico, and Jenn Neglia, a PwC risk assurance partner and the US XBRL technology leader, to discuss the full potential of using XBRL structured data to advance digital reporting.

Topics include:

• 0:53 - XBRL through a technology lens. While XBRL isn’t a standalone technology, it is integral to the broader tech conversation. We begin with an overview of how XBRL converts unstructured data to structured data, enabling users to get the information they need to drive better decision making. 
• 6:40 - XBRL for public reporting. The use of XBRL is growing. We discuss how XBRL filings are being used and what companies are doing well to ensure their data is high quality.     
• 16:44 - XBRL for internal use. How can finance organizations apply XBRL internally and gain a competitive advantage? We discuss how XBRL is solving the problems of disparate systems and inconsistent data structures.  
• 21:09 - The future of XBRL. We close with an update on the areas of focus for the XBRL International Board and how XBRL and structured data will continue to transform the “last mile” of reporting. 

Wes Bricker is PwC’s Vice Chair and Assurance Leader for the US and Mexico. In this capacity, he serves as a member of the US Leadership Team and the Global Assurance Executive Leadership Team. Wes’ leadership and oversight of the Assurance practice encompasses audit quality, business development and portfolio strategy, human capital, diversity, innovation, and technology.

Jennifer Neglia serves as PwC's US XBRL Technology Leader, focused on delivering the full spectrum of XBRL services. As a partner in the Risk Assurance practice she has helped companies with their financial accounting, system transformations, IT processes, and business process controls, primarily focused on 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 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].

While the election day dust is still settling, this episode checks in on some of the early impacts businesses should expect, like what it means for taxes, trade, and tariffs. Rohit Kumar, Co-Leader of PwC’s National Tax Office, joins host Heather Horn to provide his perspective on recent developments. 

Topics include:

0:45 - The results: what we know and what we don’t - While not all races have been called yet, we can directionally start to see where the election results are headed. We begin with an update on where we are today and what could happen next.  

8:53 - The lame duck session - Rohit explains a few of possible outcomes, touching on: another COVID-19 relief bill, federal funding, and the extension of certain tax provisions. 

19:58 - 2021 - Turning our attention to the near future, we discuss the potential ways executive orders can be used. 

23:20 - Tax, tariff, and trade - Rohit and Heather talk about the possible trajectory of policy and regulation. 

33:43 - Congress and a new administration - We close by looking at the dynamics for how congress and a new administration will work together.  

Rohit Kumar is Co-Leader of PwC’s National Tax office. In this role, he advises clients on all aspects of domestic policy, including tax policy. His insights and knowledge enable companies to assess critical policy issues more effectively and to develop legislative strategies to address those issues from both a technical and a political perspective.

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.

Related content:

• PwC's Election 2020 page
• Podcast: What’s next? Looking toward 2021 on tax, trade, and regulation 

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 Michael Engel, intelligent automation leader at PwC Innovation Labs, to discuss Robotic Process Automation (RPA) and the ways finance professionals are embracing the RPA movement.

Topics include:

• 0:48 - What is RPA? We begin by talking about the evolution of RPA and how it has developed into an accessible and approachable technology that is being used today by finance teams to automate a broad range of activities and processes.
• 6:25 - Beyond upskilling. Often, it is wrongly assumed that RPA means replacing employees. We discuss the cultural change needed for the widespread adoption of RPA tools—which means going beyond offering training sessions.  
• 11:27 - Identifying the right pain points. We discuss the importance of proactively identifying what should and should not be automated, and then talk about some of the benefits of RPA, beyond just the cost savings.
• 22:18 - What we’re seeing in practice. Michael addresses some common RPA adoption questions, including how RPA aids in attracting top talent and what the next level of RPA looks like. 

Michael Engel, a PwC managing director and intelligent automation leader at PwC Innovation Labs, is focused on applying intelligent automation in support of business transformation. With over two decades of experience, Michael supports clients in extending, enhancing, enriching, and empowering their organizations in the extraction of genuine business value. 

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].

Earnouts and other forms of contingent consideration provisions are becoming more common, which adds a level of accounting complexity. To shed light on the fundamentals, PwC partners Andreas Ohl and Chris Rhodes join Heather Horn to discuss the different types of structures and the related accounting considerations from the perspective of both the buyer and seller. 

Topics include:

• 0:46 - The motivations behind earnouts. Before getting into the accounting, we begin by discussing some of the typical motivations for these provisions. 
• 6:28 - Deal structure. Andreas and Chris share common financial and non-financial deal structures stressing the importance of clearly defined terms.
• 9:18 - Buyer considerations. There are various considerations that a buyer needs to consider in their accounting. Andreas walks through the guidance.
• 17:49 - Seller considerations. What does the seller need to consider? We explain.

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.

Chris Rhodes is a partner in PwC's Transaction Services practice. He provides commercial structuring, valuation, and accounting advice for a variety of transactions under both US GAAP and IFRS. His focus includes strategic transactions, such as acquisitions, divestitures, and joint ventures, along with capital raising and capital restructuring. Chris has advised companies across a variety of industries, but concentrates on non-financial services companies.

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 Michael Shehab and Michael Baccala, leaders in PwC’s innovation lab, to discuss the significant role that data analytics skills and technologies have on taking businesses to the next level in the decision-making process.

Topics include:

0:53 - We cannot operate without data: Data has always been important, but now more than ever we’re being asked to make decisions in high-stress,  high-change environments, making the need for data-driven decisions the key to unlocking true digital transformation.
6:28 - The data maturity curve: Understanding your data means understanding your business. We discuss the four categories of analytics:
                      7:10 - Descriptive data
                      8:13 - Diagnostic data
                     15:13 - Predictive analytics
                     16:14 - Prescriptive analytics
19:33 - Think outside the spreadsheet: We discuss the three things that companies and individuals can do to step up their data analytics, starting now.
24:44 - Growing pains: Trying new things can be difficult, but the good news is that you don’t need to be a data scientist to get to the next level. We discuss ways individuals can challenge themselves to experiment with new tools and upskill.   
29:30 - What’s exciting about the future?: Data-driven decisions made today will impact market resiliency in the future. We close by reinforcing the opportunities and technologies available to learn how to work with data.

Michael Shehab is the leader of PwC Labs and Tax Technology. As part of Michael’s role, he is responsible for leading the firm’s strategy to digitally upskill our people and help our clients redesign and redefine business processes. Michael has spent 23 years listening to clients’ needs and transforming the industry.

Mike Baccala is a PwC Principal with over 27 years of deep audit and technology consulting experience providing Fortune 500 companies with emerging technology, implementing enterprise systems, data analytics, financial audit support, internal controls over financial reporting, internal audit and business transformation program management.

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].

There’s a lot of uncertainty these days that can cause volatility in foreign exchange rates. In this episode, PwC managing director John Horan joins host Heather Horn to take a look at how to manage foreign currency risk and how to apply the basics of foreign currency hedge accounting. 

Topics include:

• 0:50 - What’s going on with currencies? We begin by talking about what’s behind the current currency volatility, and the importance of  having a comprehensive plan for currency risk management. 
• 6:58 - The types of currency exposure. There are a variety of ways foreign currency volatility may impact the financial statements. Here we discuss the types of currency exposures that companies are concerned with.
• 8:58 - Transaction exposures. A company has transaction exposure when monetary assets or liabilities are recorded in currencies other than their functional currency. Although many companies hedge these risks, most do not apply hedge accounting. 
• 17:49 - Economic exposures. An economic exposure occurs when a company expects to purchase goods or sell products in a currency other than its functional currency. The company is economically exposed to changes in exchange rates, even though the future purchases or sales are not yet recognized in its financial statements.  
• 28:39 - FASB FAQ. The FASB released guidance related to cash flow hedging and the pandemic. John provides an overview.
• 31:51 - Translation exposures. Although most companies do not try to hedge this exposure, it is a concern. This exposure manifests itself through changes in reported earnings, as the US Dollar strengthens or weakens versus other currencies around the world.

John Horan is a managing director in PwC’s National office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.

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].