What happens when you finalize an award design, only to discover the metrics were based on generally accepted accounting principles (GAAP) that have changed?
Today’s compensation committee expects better justification of performance-based grants. To formulate supportable targets and payouts, many organizations are turning to a new technique called “distribution fitting.”
Calculation of total shareholder return (TSR) seems fairly straightforward. But many have discovered otherwise, thanks to grant agreements that are full of unique features or fail to spell out the calculation method in adequate detail.
Earnouts are important to many M&A deals because they connect the consideration paid to the future performance of the acquired company. Learn what they are, how they work, and how their valuation implications affect upfront and ongoing accounting.
Stock warrants are an attractive vehicle for sales incentives, corporate control transactions, and lending transactions. But watch out: Determining fair value can be tricky.
Historical volatility can be a factor in determining the fair value of employee stock options. Volatility was sky-high during the 2007-10 recession; today, not so much. Is now a good time to grant more options?
An emerging hot topic regarding the new CEO pay ratio rule is whether using statistical sampling to identify the median employee can simplify the process or trigger additional complexity. This Issue Brief explains why sampling may prove to be more trouble than it’s worth.
On November 23, 2015, the FASB met to finalize their decisions on how to update ASC 718. Learn about the decisions made and what to expect in the soon-to-be-released Accounting Standards Update.
Equity Methods was a sponsor of the NASPP Conference, held in San Diego in late October. As usual, it was a lively, insight-filled event. Here are some of our takeaways for this year.
Equity Methods Achieves “Unprecedented” 100% Client Satisfaction Rating, Says Latest Group Five Benchmarking Study
For the second straight year, Equity Methods is rated first among financial reporting service providers for client loyalty and overall satisfaction.