Advent Valuation
FASB+ASC+350+%28formerly+SFAS+142%29+-+Goodwill+and+Other+Intangible+Assets

Goodwill Impairment Testing  (FASB ASC 350 - Goodwill and Other Intangible Assets (formerly FAS142)
In June, 2001, the FASB issued statements regarding the testing for booked assets continuing value over time (impairment testing). The new ruling states that goodwill and other intangible assets with non-determinable lives are non-amortizable and requires that both upon the initial adoption of the standard, and on at least an annual basis, all existing reporting units with booked intangible assets are required to perform valuation tests for possible impairment of those assets (referred to as Step 1). If those tests indicate possible impairment, then further analyses of the value of these assets are required (referred to as Step 2).

Step I compares fair value of a reporting unit with its carrying amount (or book value). If the fair value of a reporting unit is greater than its carrying amount, including recorded goodwill, then no impairment is deemed to exist. If the reporting unit's carrying amount is greater than its fair value, then an analysis of the amount of this impairment must be conducted (Step 2).

Step II compares the measured fair value of the goodwill of the reporting unit with the carrying amount of that goodwill. SFAS states that the fair value of goodwill can be measured only as a residual and cannot be measured directly; therefore, in Step II, an analysis similar to that conducted in ASC 805  is generally performed. Essentially, in order to determine the implied fair value of the goodwill, all assets must be valued and, where appropriate, identified long-lived assets would be adjusted downward to their fair value. If the carrying amount of a reporting unit's goodwill exceeds the implied fair value of that goodwill, then a goodwill impairment loss must be recognized for an amount equal to that excess. The adjusted carrying amount of goodwill will be its new accounting basis.

Client Testimonials

  • "Bill is a highly competent professional who is expert in the area of business valuation services. He is reliable, in meeting time committments and very thorough in his examination. The results of his examination can be counted on because of his attention to detail."

    Art Moretti
    CFO
    New Hope Community

  • "Bill provided a comprehensive and thorough valuation analysis of a complex bundle of hard assets, real estate interest and businesses in a litigation matter."

    Vincent Gentile, Esq.
    Partner
    Drinker Biddle & Reath

  • "I have utilized Bill's appraisal services in the business valuation area for several years. His work is top notch and he finishes assignments quickly and efficiently. He is a total professional and extremely knowledgeable in the business valuation area. He is also very personable and cordial to clients. I would highly recommend Bill's services."

    Paul Roberts
    International Appraisal Company

  • "Mr. Quackenbush was hired to conduct evaluation of businesses I owned and wanted to sell. He is particularly adept at conducting on target research to insure the data he compiles relates to the client's industry rather than simply providing generic data. He provided the reports in a timely fashion, well compiled and verifiable at every turn. His credentials and technical e" ... [read more]

    Donna Cornell
    Owner
    Cornell B2B

  • "When we started working with Bill, my wife and I were in the beginning stages of starting a software company and needed a business plan and a line of credit. Bill worked with us to write our business plan and took the time to teach us the process so that we not only ended up with a good product, but a better understanding of the building blocks of a small business. Bill " ... [read more]

    Mike Hinckley
    CEO
    Easybus Software

  • "I have used Bill several times to provide valuations for operating businesses. I have found him to be responsive, top quality and reasonably priced. I will use him again and suggest you give him a chance as well."

    Steven Diamond, Esq.
    Attorney
    Vergilis, Stenger, Roberts, Davis & Diamond

  • "Seems to me that the best recommendation for Bill's work is that I hired him to personally evaluate a business I was going to purchase."

    Peter Klose, Esq.
    Klose & Associates

  • "Bill will solve your valuation needs in a thoughtful, well-reasoned and articulate manner accessible to the layman, but with the technical requirements to withstand scrutiny by potential adverse parties. Hire him."

    Dan Rothstein
    General Counsel & Chief Risk Officer
    Provident Bank

  • "William was very personable, yet professional, throughout the entire engagement. He asked the right questions of the right people and delivered the valuation report on schedule and on budget."

    Mike Castleberry
    CFO
    Maxim Production Co.,Inc.

  • "Bill is very detailed oriented and explains the process and results of the services he provides. Very professional and I recommend to anyone his expertise in the evaluation of any business."

    Chris Palmer
    CFO
    LP Transportation, Inc.

  • "Bill was instrumental in our company making a very complicated business property acquisition happen. We started with the business plan, then did 5 year projections on our current financials. This analysis was required to get a 4-part mortgage, one of which was with the SBA (Small Business Administration). We are indebted to Bill and his expertise."

    Jeremy Pyles
    Owner
    Niche Modern

  • "I have worked with William during the administration of estates. He has provided first rate valuations in a timely fashion. I would not hesitate to recommend him for any valuation project."

    Ken Gobetz, Esq.
    Partner
    Wichler & Gobetz, P.C.

  • "William provided our company a comprehensive product within a reasonable time. We have used his services several times and each time we have been pleased with the planning the required data, processing, and delivery of the final report. i would recomend him for anyone looking for business valuation services."

    Michael Westra
    President
    Wayne Tile Company

  • "I strongly recommend William Quackenbush for business valuation services"

    Michael Chewens
    CFO
    NBT Bank

  • "We hired Bill to analyze and provide a valuation report for a business we were purchasing in order to assist us in securing financing. Quality of the report was very high and his expertise in the field of valuation is obvious. The lenders who reviewed the report were impressed with the output."

    Adam Keyser
    Senior Project Manager
    Preferred Development, Chicago, IL

  • "It is rare to find an individual who embodies the finest attributes of an academic and a businessman. However, Bill does embody both with a healthy dose of efficiency, common sense and humanity that makes him truly unique. His breadth of knowledge and experience, not to mention his mile long CV are all additional reasons for people to trust that he will deliver proper and " ... [read more]

    Mendel Zilberberg
    CEO
    Global Strategic Staffing Solutions

  • "Bill was our provider for the valuation of the component assets of an acquisition. He was a pleasure to work with and provided the proper results in a timely manner."

    Paul Kimmel
    CFO
    Medicor

  • "William has always delivered what was promised on a timely basis and in a very professional manner and I would certainly recommend his services to other professionals."

    Richard Merck, CPA
    CPA, Partner
    Merck CPAs & Consultants

  • "I retained William Quackenbush of Advent Valuation Advisors as an expert witness in a complex litigation in federal court in the Southern District of NY. Mr. Quackenbush's expert valuation testimony was heavily relied on by Judge Alvin K. Hellerstein in awarding my client a judgment for approximately $26 million, inclusive of prejudgment interest and costs and attorneys fe" ... [read more]

    Pinchus Raice, Esq.
    Partner
    Pryor Cashman

  • "I have worked with and recommended Bill to clients in need of business valuations over the years and each experience has been very successful. Clients enjoy working with Bill as he brings a creative approach to valuations which is firmly grounded in the law and fact. He is an excellent trial witness and enjoys a great reputation within the legal and accounting communities."

    Howard Protter, Esq.
    Attorney
    Jacobowitz & Gubits

  • "Bill has provided valuation service for 2 of my firm's clients. His work has been timely and professional in both cases. Both clients provided positive feedback."

    Michael Specht, CPA
    Partner
    Metis Group, CPAs

  • "I first met Bill through a business associate of mine looking for someone to help evaluate our growing business. We met Bill at his office and from the beginning he made us feel very comfortable. He listened to our thoughts and we began immediately to brainstorm ideas, this was very important to me because he knew that being in business "time is money." He secured that wi" ... [read more]

    Dan Tulp
    Owner
    Liberty Pest Control

  • "Bill is exactly who you need to get your evaluation done. My company has used him multiple years and he has never disappointed, or missed a deadline. In fact, in 2012 we gave him about 2 weeks to get an evaluation completed and he did before the deadline. I have always been more than pleased with his quality of work, professionalism and diligence."

    Christopher Reina
    Vice President
    Maxim Production, Inc. *Houston, TX)

  • "Bill has been both a client and respected adviser. His experience in banking, business consulting and valuation continues to prove to be invaluable to me as a business owner. The complex issues that surround companies in today's economic environment and their effects on the value of company assets, is why Advent will always be on my speed dial. As a highly credentialed pro" ... [read more]

    David Cummings
    CEO
    Cool Life Systems

  • "I am working with Bill on a complex litigation matter and he is an excellent source of information and has thoroughly analyzed and addressed the issues that have arisen. He has delivered an expert opinion in a well organized and efficient manner. I highly recommend his services."

    Carmee Murphy, Esq.
    Senior Associate
    Jacobowitz & Gubits

  • "Bill has done 3 or 4 valuations for me over the past few years and I have been very happy with his knowledge, communication throughout the process and results. I would highly recommend Bill."

    Chris Albanese
    Partner
    Montgomery Physical Therapy

  • "Mr Quackenbush did a fine job with our company valuation. I would recommend his services."

    Carl Braunagel
    President
    Aliton Pharmacy

  • "We have recommended Bill to various clients and he is professional and reliable."

    Stuart Greenberg, CPA
    Partner
    Greenberg & Company LLC

News & Updates

January 2013: William Quackenbush, managing director of Advent Valuation Advisors (NY) provided expert witness testimony in a New York partnership dispute case. The case, which went to the Appellete Division of the Second Department, agreed with Mr. Quackenbush's testimony...(read more)

June 2012: William Quackenbush, managing director of Advent Valuation Advisors (NY) was a book reviewer for the just published book by Michael A. Gregory, "How to Work with the IRS: Strategies for Attorneys, Accountants & Appraisers." (read more)

February 2012: William Quackenbush, managing director of Advent Valuation Advisors (NY) recently wrote an article entitled "Current Issues in Developing the Cost of Capital" that was recently published....(read more)

March 2011: The New York law firm of Pryor Cashman reported that, after three days of trial, its client, Deep Woods LLC, emerged victorious in its litigation against the Savings Deposit Insurance Fund of the Republic of Turkey (“SDIF”). William Quackenbush provided valuation and expert witness testimony in that case...(read more)

 


Advent Valuation Advisors
New York
 845.567.0900

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