Learn about the new AICPA Accounting and Valuation Guide: Assets Acquired to Be Used in Research and Development. We review the highlights of the new guide as compared to the previous version, as well as the valuation best practices. We also discuss the industries that will be most impacted and highlight key issues executives must be prepared to address in their next acquisition.
Duration is 60 minutes
Discussion topics include:
- Development of Prospective Financial Information for IPR&D assets, considering issues such as probability of success, milestone payments (gross vs. net recognition), and technology migration;
- Multiperiod Excess Earnings Method (MPEEM) application issues;
- Implementation guidance for the now acceptable use of the relief from royalty method;
- Discount rate highlights related to the Discount Rate Adjustment Technique and the Expected Present Value Technique; and
- Impairment testing, interplay with contingent consideration and other Day 2 issues.
Duff & Phelps Presenters:
- Paul Barnes, Global Valuation Advisory Services Leader
- Andreas Chrysostomou, Healthcare and Life Sciences Industry Leader
- Glen Kernick, Technology Industry Leader
- Gary Roland, Managing Director, Office of Professional Practice