Share Based Compensation: ASC 718 Accounting and Valuation
ASC 718 requires that compensation awarded as shares or stock must be evaluated to be either equity or liability awards. Once appropriately evaluated the awards must be fair valued at grant date and potentially quarterly thereafter. The practitioner must navigate the literature to determine the appropriate accounting and then fair value and expense the compensation cost over the service period appropriately. In this Knowledge Group Section ASC 718 LIVE webcast, we will bring a panel of professionals experienced in the design, accounting, and valuation of share based plans that will help you understand:
- Accounting for awards as equity or liability
- Design of the awards to meet equity accounting
- Valuation nuances for various types of awards
- Expense methodology
This live webcast will provide accounting professionals with a comprehensive overview of ASC 718 including the accounting and valuation. Attending this course will give you the tools you need to design the awards to meet your goals, account for the awards appropriately and fair value or review the fair value of your share based compensation.
Chandu Chilakapati, Managing Director
Alvarez & Marsal
- Equity vs. Liability awards from a design and accounting perspective
- Types of awards and valuation technique: Black-Scholes, Binomial Trees, and Monte Carlo Simulation
- Discounts due to post vesting restrictions
N. Neil K. Khettry, CFA, Director
Murray Devine & Company
- Different methods for valuing equity securities in complex capital structures
- Option pricing method overview, process, and key inputs
- Discounts for lack of marketability
- Analysis, interpretation and use of valuation results
Who Should Attend:
- CPAs, Corporate Tax Professionals & Finance Executives, Enrolled Agents
- Tax & Finance Attorneys, Corporate Counsel (Tax)
Chandu Chilakapati is a Managing Director with Alvarez & Marsal Valuation Services in Houston. Mr. Chilakapati has provided valuation and risk management consulting services for more than 14 years. During that time he has provided fair value reports to corporate clients on thousands of instruments ranging from swaps to exotic options across energy, interest rate, and foreign currency underlying markets. He has delivered valuation reports related to purchase price allocations, stock based compensation, derivative and hedge accounting, and tax valuations. Mr. Chilakapati earned a bachelor's degree in economics from the Washington University in St. Louis and a masters degree in business administration focused in finance and risk management from Rice University. He has presented and moderated numerous national technical accounting conferences related fair value, derivative, and hedge accounting.
Chandu Chilakapati is a Managing Director with Alvarez & Marsal Valuation Services in Houston. Mr. Chilakapati has provided valuation and …
Neil Khettry joined Murray Devine in 2007. His responsibilities include financial analysis and advisory services relating to financial opinions, portfolio valuations, collateralized debt obligation funds, and the valuation of business enterprises. He has extensive experience with valuations of privately-held equity securities issued as compensation embedded in complex capital structures. He received a Bachelor of Arts degree in Economics cum laude from the University of Pennsylvania in 2004 and a Masters in Business Administration with a concentration in Finance from Temple University in 2007. He is also a Chartered Financial Analyst (CFA) charterholder.
Neil Khettry joined Murray Devine in 2007. His responsibilities include financial analysis and advisory services relating to financial opinions, portfolio …
Print and review course materials
Method of Presentation:
NASBA Field of Study:
NY Category of CLE Credit:
Unlock All The Knowledge and Credit You Need
Leading Provider of Online Continuing Education
It's As Easy as 1, 2, 3
Get Your 1-Year All Access Pass For Only $199
About Alvarez & Marsal
Alvarez and Marsal (A&M) is a global professional services firm that delivers business performance improvement, turnaround management and advisory services to organizations seeking to transform operations, catapult growth and accelerate results through decisive action.
A&M’s Valuation Services practice advises companies, private equity and hedge funds, investors and parties to contracts on transactional information that has been recorded at fair value and often subject to periodic measurement. A&M has built a full service valuation practice that can provide companies with valuation reports for financial reporting purposes that meet the needs of management and their external auditors.
A&M Valuation Services professionals come from large accounting firms and independent valuation firms of national repute. Each A&M Valuation Services professional has a background in a specialist area, a deep grounding in core valuation concept and is known for their thoughts on complex topics and support of the valuation industry in a variety of leadership roles.
About Murray Devine & Company
Murray Devine focuses on valuation and valuation only. This total focus on valuation services provides its clients with a depth and breadth of unencumbered expertise that is unparalleled in the industry. The services it provides help to facilitate transactions with values ranging from $10 million to more than $10 billion. Murray Devine’s exclusive focus on valuation also allows the firm to provide its clients with exactly the valuation services they need without any of the conflicts that can be presented by ancillary services. Since 1989, Murray Devine has been providing valuation services to the country’s most respected private equity firms, hedge funds, banks and corporations. Unwavering focus, reliability and responsiveness are the hallmarks of every Murray Devine engagement.