Subsequent events, what you need to know

In the current environment, information evolves quickly and subsequent events need close scrutiny. While the evaluation of a subsequent event is based on specific facts and circumstances, it’s helpful to understand the framework used to evaluate these events. Heather Horn is joined by PwC partners Tom Barbieri and Pat Durbin to discuss the considerations.Topics include:1:06 - Overview. We start with an overview of the types of subsequent events.4:35 - Framework. Is the evaluation of a subsequent transaction different from receiving updated information? We discuss the considerations.6:51 - Examples. We then move through some common subsequent event examples, including those related to: 7:19 - Loss/gain contingencies9:50 - Credit losses (CECL)14:21 - Fair value18:29 - Inventory Tom Barbieri is a PwC partner and the Financial Instruments Accounting Leader in PwC’s National Office with over 29 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the FASB, SEC, and other regulators and standard setters. Pat Durbin is the leader of the revenue and liabilities division in PwC’s National Office. He has over 25 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes and inventory under both US GAAP and IFRS. Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].