In Part 1, Travis W. Harms, Mercer Capital Financial Reporting Valuation Group lead, walked through the mechanics of the option pricing model (OPM) with a view to making the model more intuitive to non-specialist report users.  In this post, he addresses the model from a more qualitative perspective, evaluating the model’s use and potential misuse in practical application. To read the full article in Mercer ...

The informational interview can show off your initiative and soft skills to a potential employer.  However, the convenience of online fact gathering has caused the informational interview to fade.  But, as Sabine Vollmer, senior editor of CGMA Magazine, explains, a new generation of job-seekers is rediscovering this classic networking tactic. To read the full article in CGMA Magazine, click: How to Turn a C ...

There's a window of opportunity before clients reach age 70 in order to mitigate some of the bite.  Paul Norr shares some great tips to prepare your clients for their future years. To read the full article in Financial Planning, click: Avoid the Social Security Tax Trap. ...

A merger or acquisition is a critical move, and many don’t work out.  Are you ready to make the jump?  John J. Bowden Jr. explores some topics you should consider first. To read the full article in Financial Planning, click: How to Play the M&A Game. ...

The option pricing model, or OPM, is one of the shiniest new tools in the valuation specialist’s toolkit.  Travis W. Harms, Mercer Capital Financial Reporting Valuation Group lead, discusses the purpose of this post is to clarify the fundamental insight underlying the model and illustrate its application so that non-specialist users of valuation reports can gain greater comfort with the model.  Part 2 will ...

Getting Your Groove Back After Tax Season The adrenaline rush is over, the returns are filed and vacation beckons.  However, post-busy-season blues may creep in, observes Cari Weston, CPA, director of the AICPA's Tax Practice & Ethics Team and a former tax practice owner.  She offers ways you can learn from the past season to move your practice forward and celebrate being a tax practitioner.  Want to ex ...

How to Avoid Common Mistakes in Accounting Firm M&A Steer clear of these fatal flaws and your acquisition will have a much better chance of succeeding.  For firms that want to expand, Brannon Poe, founder of accounting practice brokerage firm Poe Group Advisors, explains how finding strategic solutions to potential roadblocks can greatly impact post-close results. To read the full article in the Journal ...

How to Keep a Meeting on Track Too often, people sit silently as meetings meander off course and drag on far beyond the scheduled time.  Joseph Grenny provides seven ways attendees can get meetings back on track, such as restating problems and making sure everyone understands their responsibilities. To read the full article in the Harvard Business Review, click: 7 Ways to Stop a Meeting from Dragging On. ...

The issue of dividends and dividend policy is of great significance to owners of closely held and family businesses and deserves considered attention.  This highly informative blog is excerpted from Z. Christopher Mercer’s (founder and chief executive officer of Mercer Capital) newest book: Unlocking Private Company Wealth. To read the full article in Mercer Capital's Financial Reporting Blog, click: An Int ...

Digital Security: Apple, Taxes, and Terrorism The FBI has attempted to compel Apple, Inc. to defeat its own encryption.  Because Apple has thus far refused, a federal court in California will hear arguments.  The case is certain to have far-reaching implications for the nature of digital security.  Adam Junkroski, lead manager Tax Communications for AICPA, explains how the unbreakable encryption at the cent ...

The Many Tax Benefits of Making Charitable Contributions With IRA Distributions Now that the provision permitting these contributions is permanent, taxpayers can take maximum advantage of this rule, even using life insurance to increase the gift to charity.  David K. Smucker, CPA, Advanced Consulting Group director with Nationwide Insurance, explains that the recent legislation making the $100,000 charitabl ...

The presence of an unrecognized device attempting to access your Google account could be a serious threat.  J. Carlton Collins, JofA contributing editor, recommends you remove the unknown device and change your password immediately. To read the full article in the Journal of Accountancy, click: Cybersecurity: Unknown Google Device. ...

The FASB announced sweeping changes to the accounting for leases earlier this year that will affect nearly all financial statement issuers.  Travis W Harms, Mercer Capital’s Financial Reporting Valuation Group lead, discusses each topic. To read the full article in Mercer Capital's Financial Reporting Blog, click: 7 Things to Know About the New Lease Accounting Rules. This article is republished from Mercer ...

When it Comes to Messaging, You Can Have too Much of a Good Thing Real-time messaging can be a lifeline—and a huge distraction.  Barb Darrow discusses how many companies are embracing internal communication platforms, but the result can be employees using several simultaneously, according to a survey. To read the full article in Fortune, click: When Good Communication Goes Bad. ...

Following FASB’s issuance of its new leases standard, the first step in compliance for many companies is an evaluation of whether they possess all the data they need to report under the new rules.  Ken Tysiac, editorial director of JofA, explores four key considerations recommended for companies as they work to comply with the new leases standard. To read the full article in the Journal of Accountancy, clic ...

When to Report COD Income Because Form 1099-C, Cancellation of Debt, is often issued either before or after the debt was discharged for tax purposes, practitioners need to understand the recognition rules to be able to advise clients when and if to report the COD income.  Victoria R. Bartlett, shareholder with Gregory, Sharer & Stuart CPAs, explains that issuance of Form 1099-C does not necessarily requ ...

For management teams working through a bankruptcy, there are a number of valuation-related considerations.  Samantha L. Albert, senior financial analyst with Mercer Capital, explains five key concepts for management teams and their advisors to be familiar with when embarking upon a Chapter 11 reorganization. To read the full article in Mercer Capital's Financial Reporting Blog, click: 5 Things to Know About ...

Retirement Savings Require Prioritization of Financial Goals Saving for retirement requires balancing several different objectives such as paying down debt, setting aside enough money to handle emergencies, and making contributions to retirement accounts.  Brian Preston and Bo Hanson discuss that how you prioritize these goals will depend on your personal financial situation. To read the full article in U.S ...

Here are the IRS's Top "Dirty Dozen" Tax Scams for 2016 The Internal Revenue Service released its annual list of the "dirty dozen" worst tax scams, starting with identity theft and winding up with frivolous tax arguments.  Sally P. Schreiber, senior editor of JofA, lists what taxpayers and practitioners need to watch out for. To read the full article in the Journal of Accountancy, click: 2016’s Dirty Dozen ...

How Delaying Retirement One Year Provides Financial Advantages Working just one additional year before retirement can increase your Social Security benefits and provide other financial advantages.  Emily Brandon, senior editor for Retirement at U.S. News, discusses this and that an additional year also means continuing to receive company benefits instead of paying for them yourself. To read the full article ...