Earn Accounting CPE Credit With the Financial Management Network (FMN)

Third-party information reporting has been shown to increase voluntary tax compliance, improve collections and assessments within the IRS, and thereby reduce the tax gap. Kelli Wooten, tax director at KPMG LLP, joins us this month and discusses the general reporting requirements under IRC section 6050W and Form 1099-K reporting, and Form 1042, Annual Withholding Tax Return for U.S. Source Income of Foreign Persons.

Learning Objectives:

Transfer pricing is an accounting and tax practice used to determine the cost of goods or services rendered within businesses and between departments, subsidiaries or holding companies that operate under common control or ownership. But there is a risk that lies beneath transfer pricing, and that risk is tax manipulation. It is often a way to shift tax liabilities to a lower-tax jurisdiction or even another country, as transfer pricing can extend to both domestic and global markets. Marina Gentile, lead of the Global Transfer Pricing Strategies practice, and Chaya Siegfried, international tax partner, at Withum discuss how transfer pricing goes hand in hand with an effective global tax structure and how proper planning is key.

Learning Objectives:

• Define transfer pricing and recognize the four types of intercompany transfers;
• Identify compliance factors with respect to transfer pricing and planning opportunities to minimize risk;
• Understand the transfer pricing documentation requirements and the tax implications of their absence; and
• Understand the impact of the pandemic in both transfer pricing and international tax structures.

As the world is slowly coming out of the pandemic, companies are reevaluating their day-to-day operations, levels of performance within various departments, affiliates and subsidiaries, as well as customer and supplier relationships. Many companies have gone out of business, leaving customers to look for alternatives in their supply chain, while others have reorganized, transitioned to a virtual platform and switched from supply chains overseas to domestic or local manufacturers. As a result, their existing transfer pricing policy may no longer reflect the new corporate structure and intercompany cash flows. Chaya Siegfried, international tax partner and Marina Gentile, lead of Global Transfer Pricing Strategies practice at Withum, continue our segment by discussing the impact of the current environment on global tax and transfer pricing.

Learning Objectives:

• Recognize how changes in transfer pricing strategies can affect a business;
• Identify the differences in tax between domestic and multinational companies;
• Understand the concept of double taxation and possible ways to avoid it; and
• Determine who can qualify for a deduction under IRC section 250.

At its most basic level, blockchain is a ledger sitting in multiple different computers, a chain of blocks made up of digital pieces of information. It is decentralized and it is not necessarily controlled by a single entity or a single individual. Once information is entered, it is there to stay. It is irreversible, it can't be changed, deleted or eliminated. If a correction needs to be made, a new transaction has to be recorded that has to be approved by all parties involved and it is added to every participant's ledger. Dave Sackett, CFO at ULVAC Technologies, Inc. discusses how the blockchain ledger works, its use in the accounting world and how it can be integrated with the company's general ledger.

Learning Objectives:

• Understand how blockchain technology impacts assets, liabilities and equity accounts;
• Determine the capabilities of a blockchain ledger and why it is considered the ultimate trail;
• Recognize the way intercompany reconciliations work under blockchain technology; and
• Understand the difference of the accounting treatment of cryptocurrency as an intangible asset versus a currency.

The use of business analytics, and audit analytics in particular, can be beneficial across several industries, including internal audit. The difference between business data analytics and audit data analytics is that audit data analytics tend to focus on risks and controls of the organization or their underlying business, whereas business data analytics tend to be focused on wider areas. Audit departments, both external and internal, can really leverage these new techniques and look across the organization's data, identify those existing risks, or even predict new and emerging risks, and then help their organization to decisively mitigate those risks. Anya Drake, director at Protiviti, discusses the various skills, technologies and methodologies she sees across industries and their internal audit departments.

Learning Objectives:

• Identify the three main domains in internal or external auditing;
• Recognize dependencies and barriers when it comes to data analytics and technology-driven audits;
• Identify ways to protect personal identifiable information and overall data security with respect to audit analytics; and
• Understand how data validity, completion and accuracy can be achieved in technology-driven audits.

Organizations typically focus on external cyber threats, but statistics show that insider attacks occur more than 50 percent of the time and can be a lot more dangerous. Lyle Lieberman, Chief Operating Officer with JANUS Associates, explains the different types of insider cyber threats and describes what you can do to protect against them.

Learning Objectives:

• Recognize the different types of insider cyber threats;
• Describe what the next generation of firewalls do;
• List the things to do to protect against insider cyber threats; and
• Describe what an incident response plan is and what it does.

Shortly after the shutdown last year, the federal government offered various types of assistance programs for both individuals and businesses. Loans, debt relief and grants were available in an effort to stabilize the financial markets and sustain some companies, though others were unable to withstand the blow of the pandemic and filed for bankruptcy or restructuring. Asset-based lenders, commercial banks, and non-bank financial institutions were faced with unforeseen situations, one of which was supply chain disruptions. Paul Schuldiner, EVP & division manager for Rosenthal Trade Capital, and Vincent Iacopella, EVP of growth and strategy for Alba Wheels Up, discuss in detail the impact of supply chain disruption on businesses, lending and the underwriting process.

Learning Objectives:

• Understand the changes in the marketplace during COVID;
• Identify the ramifications of supply chain disruptions;
• Understand the future of cross-border financing; and
• Determine the impact of supply chain disruptions on lending

There has been a lot of discussion about Schedules K-2 and K-3 for a while now, with some confusion related to the preparation of the schedules and the filing options. In February 2022, the AICPA and state societies of CPAs sent a letter to the Secretary (Tax Policy) Department of Treasury and IRS Commissioner asking for a delay in the requirement for partnerships and S corporations to complete and file Schedules K-2 and K-3 reporting items relevant to international tax reporting. Barbara Weltman, president of Big Ideas for Small Business, gives us an overview of the schedules. She also addresses other areas of interest to CPAs and tax professionals, such as RMDs, subsequent beneficiaries, virtual currency and more.

Learning Objectives:

• Understand the requirements in order to complete Schedules K-2 and K-3, as well as the filing options available;
• Recognize the new RMD tables issues and the proposed regs made by the SECURE Act in 2019;
• Identify the proper treatment when a beneficiary is a minor, disabled or a subsequent beneficiary; and
• Understand how taxpayers can petition the tax court for review with respect to employment tax determination.

Auditors are constantly dealing with updates from the Office of Management and Budget (OMB) and the AICPA's Auditing Standards Board. The pandemic has made their job even more challenging. Allen Fetterman, a national instructor on accounting and auditing issues, reviews revisions made by the OMB to the Uniform Guidance, changes made to the 2021 Compliance Supplement, and new guidelines included in SAS No. 140 issued by the Auditing Standards Board.

Learning Objectives:

• Identify the revisions made to the Uniform Guidance;
• Recognize the changes made in the 2021 Compliance Supplement;
• Describe the guidance for auditors contained in SAS No. 140; and
• Recognize the challenges that auditors are facing doing single audits.

Organizations typically focus on external cyber threats, but statistics show that insider attacks occur more than 50 percent of the time and can be a lot more dangerous. Lyle Lieberman, Chief Operating Officer with JANUS Associates, explains the different types of insider cyber threats and describes what you can do to protect against them.

Learning Objectives:

• Recognize the different types of insider cyber threats;
• Describe what the next generation of firewalls do;
• List the things to do to protect against insider cyber threats; and
• Describe what an incident response plan is and what it does.

Ransomware is a type of malicious software that is used by cybercriminals to lock data files and block access until a ransom is paid. The average cost of experiencing a ransomware attack is estimated to be about $761,106 globally. Lyle Lieberman, Chief Operating Officer with JANUS Associates, discusses the latest ransomware trends and provides a list of steps an organization can take to minimize the risk of an attack.

Learning Objectives:

• Recognize why ransomware is such a concern;
• Describe the role of cyber insurance;
• List the steps an organization can take to protect against ransomware; and
• Describe what web application testing is.

International Financial Reporting Standards (IFRS) are followed in the European Union as well as many countries in Asia and South America but not in the United States. Understanding similarities and differences between IFRS and U.S. GAAP is highly relevant to financialnreporting and disclosures for stakeholders. John Fleming, a Kaplan Financial Educationndiscussion leader, covers those standards that most people talk about when they refer to the differences between IFRS and U.S. GAAP.

Learning Objectives:

• Identify the current IFRS standards most relevant to financial reporting and disclosure;
• Identify major accounting differences between IFRS 15 and U.S. GAAP Topic 606;
• Understand the fair value definition and the differences between IFRS 13 and U.S. GAAP Topic 820; and
• Understand the objective of IAS 19 on employee benefits and identify the available areas under FASB relevant to employee and retirement benefits.

More and more companies are developing finance teams dedicated to sustainability and innovation. Finance professionals have skills and competencies to handle sustainability accounting matters and help organizations to maximize their value. Therefore, the role of a CFO, chief finance officer is migrating to one of a CVO, chief value officer. Richard Kravitz, managing director of content and publishing for the New York State Society of CPAs, editor-in-chief of The CPA Journal, and professor of law at Texas A&M Law School in the graduate division, gives us his views on such migration and how it maximizes the value of an organization.

Learning Objectives:

• Identify the five consequential changes CFOs faced in the last 50 years;
• Understand Milton Friedman's convictions in comparison to the current environment;
• Recognize the dominant creators of long-term sustainable values; and
• Understand the myths of shareholder ownership and the reasons directors and corporate managers need to adapt to the new era.

The Consolidated Appropriations Act 2021, like the 2020 Act, is a collection of a large number of separate bills, contained inside a 5,593 page complete Act. Edward Zollars, partner at Thomas, Zollars & Lynch, Ltd. discusses the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act, in short the Economic Aid Act, that restarted the original Paycheck Protection Program (PPP) Loan system and established a new Second Draw PPP program, the time period for the restarted PPP and debt forgiveness.

Learning Objectives:

• Understand the IRS position for the first and second PPP loan program;
• Identify the modifications of the original PPP loan;
• Recognize the criteria that need to be met in order to qualify as a seasonal employer; and
• Identify the requirements for 501(c)(6) organizations to qualify for PPP loans.

The Economic Aid Act modifies FTE (full time equivalent) Safe Harbor 2 as it is called on the forgiveness application form, which was the only FTE safe harbor found in the CARES Act, for loans made on or on after the date of enactment (December 27, 2020) of the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act. Edward Zollars, partner at Thomas, Zollars & Lynch, Ltd. continues the discussion highlighting the modifications to FTE Safe Harbor 2, the gross receipts test and related calculations, how to navigate through the requirements of the second round of PPP loans, and provisions under the Interim Final Rule.

Learning Objectives:

• Identify the FTE safe harbor criteria for borrowers and the modifications to FTE safe harbor 2;
• Understand the purpose of the second PPP loan program and who is eligible to participate;
• Understand how gross receipts are calculated and identify items that are excluded; and
• Recognize the steps of the forgiveness process for both the first and second PPP loan program.

On July 1, 2020, Richard Jones began his term as the eighth chairman of FASB, a very challenging role in and of itself, and starting in the midst of a global pandemic was certainly a curveball. In his remarks at the AICPA conference on SEC and PCAOB developments, in reference to standard setting, Rich quoted former Mets manager, Casey Stengel, who once said "Sometimes it's easier to understand things than to figure them out." Rich Jones discusses his new role, and the steps FASB is taking to make it easier for stakeholders, particularly private companies and nonprofit organizations to navigate standards during the pandemic and beyond. He also gives us an overview of the post-implementation review of standards on revenue recognition, leases, CECL and the Board's goodwill simplification project.

Learning Objectives:

• Identify the measures FASB took during the pandemic and how they are currently helping stakeholders;
• Recognize the steps involved in setting a standard and how FASB decides on future projects;
• Identify the actions taken by FASB on the three major standards currently under review; and
• Understand how FASB conducts post-implementation reviews.

In September 2020, the DOL's Wage and Hour Division (WHD) announced revisions to regulations that implement the paid sick leave and expanded family and medical leave provisions of the Families First Coronavirus Response Act (FFCRA). The revisions reaffirmed and provided additional explanations on certain requirements, clarifications as to the required documentation from employees to support their need for FFCRA leave and changes to the definition of "healthcare provider." We are approaching a year since the pandemic started and the workplace has evolved in a new direction. Randi Kochman, member at Cole Schotz, P.C. discusses how businesses and employee lives were reshaped due to the pandemic.

Learning Objectives:

• Identify the WARN Act requirements and when employers are in violation;
• Recognize some of the legal issues employers face with respect to the WARN Act;
• Determine steps employers can take in order to provide reasonable accommodations and address the concerns of fearful employees; and
• Identify the areas most companies struggle with and what can they do to alleviate some of the risks.

In August 2020, the Securities and Exchange Commission (SEC) issued its long-awaited amendments to Regulation S-K, the regulation which contains the detailed disclosure requirements, including a new requirement that public companies need to disclose information about "human capital resources". Boards often focus on key areas of a business and how to drive it forward, but have not been tasked with direct oversight of human capital management, as it has been historically viewed as management's responsibility. Gillian Emmett Moldowan, partner in the Compensation, Governance and ERISA group at Shearman & Sterling, discusses human capital management and how it fits into the broader framework of ESG.

Learning Objectives:

• Identify SEC rule requirements on human capital disclosures;
• Recognize employee engagement changes and human capital data collection considerations;
• Identify the five primary sustainability dimensions under SASB; and
• Determine the HCMC protocols and human capital measures.

Corporate misconduct and corruption have been going on for decades, causing significant damage that keeps growing. And who pays the price? Investors, consumers, employees, but also communities and even the corporations themselves. So why do companies misbehave? The culture within an organization, the corporate environment can be one of the reasons, but is it the company, the individuals that run it or the economic system itself that promotes unethical behavior? Marc Epstein, former professor at Harvard, Stanford and Rice Universities and Kirk Hanson, former professor at Santa Clara and Stanford Universities, are addressing the reasons why, in their view, companies, their executives and their employees misbehave.

Learning Objectives:

• Identify what promotes unethical behavior in organizations to misbehave;
• Recognize ways to control corporate misconduct;
• Determine reasons why laws and regulations are not effective; and
• Identify initiatives corporations should consider to minimize or alleviate misconduct.

In February 2020, the American Institute of Certified Public Accountants (AICPA) Accounting and Review Services Committee (ARSC) issued Statement on Standards for Accounting and Review Services (SSARS) No. 25, Materiality in a Review of Financial Statements and Adverse Conclusions. SSARS No. 25 is the culmination of their goal of converging with international standards for review engagements (ISRE) 2400. With us today is Michael Glynn, CPA, CGMA, senior manager, Audit and Attest Standards and staff liaison for ARSC. He provides an overview of the new standard and why business executives should consider early implementation.

Learning Objectives:

There are many misconceptions about how to speak effectively to an audience and get your point across. Public speaking was the least favorite class in college for most of us; something we may have thought at the time, let's get through it and we won't have to do it ever again. Well… if we only knew at the time that we would be doing this every day of our lives. Public speaking is a vital component of executive presence. Diane DiResta, CEO of DiResta Communications Inc., is an executive coach and she discusses ways executives can be influential public speakers. She shares her experiences as to the biggest communication challenges financial executives face, as according to Diane, "to be a leader with influence you have to be a knockout presenter. And while gifted speakers are born, effective speakers are made."

Learning Objectives:

• Identify communication challenges executives face when it comes to public speaking;
• Understand the return on investment when it comes to public speaking;
• Define executive presence and recognize its attributes; and
• Identify the top myths on effective presentations and the facts behind each one.

Employee stock purchase plans, often known as ESPPs, are programs that enable employees to purchase company stock via elective payroll deductions. Typically, those deductions will accrue over a set period of time, often six months. At the end of that period, the accumulated money is then used to buy stock and a new six-month period starts. ESPPs are a great incentive for employees, but how are they different from any other kind of equity compensation like options or restricted stock? David Outlaw, director of Valuation and HR Advisory Services at Equity Methods, provides us with details on the different types of ESPPs, reasons companies offer them, common structures and tax qualifications.

Learning Objectives:

• Understand the distinct differences of ESPPs vs. other stock compensation plans and restricted stock;
• Identify the different design levers of ESPPs and the ways they differ;
• Recognize the accounting treatment of ESPPs based on their features; and
• Understand the remeasurement triggers and common modification drivers.

In July 2002, Congress established the Public Company Accounting Oversight Board, known as PCAOB, to oversee audits of public companies and SEC-registered brokers and dealers, in an effort to protect investors and the public interest. Over the years, there have been several cases of significant financial reporting fraud, significant internal control deficiencies, and other audit failures, resulting in the loss of investor confidence, yet the number of defective audits that resulted in enforcement actions by the PCAOB has been very small. Is the profession failing? Is accountability lost? Dan Goelzer, one of the founding members of the PCAOB, gives some insights on these questions.

Learning Objectives:

• Understand the purpose of the PCAOB's inspection reports;
• Determine some of the potential drawbacks if audit workpapers inspected by the PCAOB are publicly disclosed;
• Recognize the correlation between audits of financial statements and uncovering fraud; and
• Identify the areas the PCAOB should consider to ensure greater public trust.

In April 2018, the board of directors of Andeavor LLC and Marathon Petroleum Corporation approved the merger between the two companies according to what was thought to be in the best interest of their respective equity holders. Andeavor was acquired by Marathon in October 2018 for over $23 billion, making it the largest acquisition in San Antonio's history. The acquisition was completed in July 2019; however, Andeavor was on the Securities and Exchange Commission's radar. Charles Hecht, from Charles Hecht, P.C., discusses the case in further detail. Was this a case about weak internal accounting controls or insider trading? And what is the new "E" on EESG and the related required disclosures from the SEC?

Learning Objectives:

• Understand the requirements to prove insider trading and why the Andeavor case was about internal control weaknesses;
• Recognize the ramifications and implications to financial professionals as a result of the Andeavor case;
• Identify the benefits of EESG and ways companies can integrate EESG; and
• Identify steps companies can take to be more involved in their community and their state and local governments.

Charles Hecht, from Charles Hecht P.C., continues our segment. He gives his insights as to how the SEC reacts to misleading disclosures caused by the pandemic and discusses the case brought by the SEC against The Cheesecake Factory. Companies can get very creative when the SEC is on their tail and it seems they often blame it on internal controls. But the true causes of misinformation always come out, one way or another. And if the SEC sees that the public is misinformed on what the true impact of COVID-19 was on a business, it is not afraid to act on that. Good or bad, the public will know. Charlie also discusses what COVID-19 taught businesses. Are you going to be ready if another pandemic hits?

Learning Objectives:

• Recognize ways the SEC responds to misleading disclosures from the impact of the pandemic;
• Identify lessons learned from the pandemic and ways to prepare for a future one;
• Determine the potential implications of a Wells submission notice; and
• Understand the SEC's 2021 examination priorities.

SPACs, special purpose acquisition companies, have been around since the early 2000s, yet they have been the biggest trend over the past year. When there is a surge, especially of that magnitude, there is also scrutiny. The SEC looks very closely at filings and disclosures by SPACs to protect the public so investors can make informed investment decisions. Warren Buffet considers the SPAC boom a "killer," but is there another side to SPACs? Opinions are split. SPACs are in the news almost daily, but the question is how long will this boom last and is this really a "killer"? Brian Sarkis, CFA, founder of The Franklin Nova Group discusses SPACs in detail, how they work, and the underlying risks.

Learning Objectives:

• Understand what SPACs are and how they work;
• Recognize the accounting treatment of SPAC warrants in accordance with recent SEC regulations;
• Identify the differences between SPACs and IPOs; and
• Determine steps investors should take prior to investing in SPACs.

In February 2016, the FASB issued new authoritative guidance on accounting for leases. The new guidance is commonly referred to as Topic 842, which is a reference to the Leases topic of the FASB Accounting Standards Codification®. All reporting entities that prepare financial statements in accordance with U.S. GAAP must adopt Topic 842 as a replacement for previous GAAP on accounting for leases. Leases are one of a company's most significant costs that can directly impact business operations as well as valuation. Joe Fitzgerald, senior vice president of Lease Market Strategy at Visual Lease, discusses the impact of leases on the balance sheet based on the new standard, the underlying risks when leases are neglected or not accounted for, and what to look for when evaluating lease software.

Learning Objectives:

• Understand the requirements when transitioning to Topic 842 and the definitions of Day 1 and Day 2;
• Identify the underlying risks when leases are not properly managed;
• Recognize the challenges in adopting Topic 842, and the lessons learned from public companies; and
• Determine the key considerations when evaluating lease software.

Executives are always under pressure, but there is nothing like the pressure they felt and still feel due to the pandemic. In the initial months they were faced with having to present to stakeholders short-term forecasts in order to make numbers talk about an unpredictable future. An impossible task, but they delivered. They had to evaluate their company's viability with several unknown elements and assumptions that could not have been based on historical results. There has been nothing comparable to a global pandemic in recent years. Since the pandemic, we keep talking about companies and the pressures they feel to perform and stay afloat. But we seldom talk about the executives themselves, the human element behind the numbers. Julie Kantor, business psychologist, founder of JP Kantor Consulting, reveals the importance of focusing on the human aspect.

Learning Objectives:

• Identify the impact on employees when there is lack of transparency;
• Determine stressors due to the pandemic and how they can be alleviated;
• Recognize some of the signs employees manifest if stressed, anxious or depressed; and
• Identify steps to cope with the new reality.

Economic value, or economic value added, or as some people refer to it, economic profit, is an alternative to net income; many people believe that net income may not be an appropriate measurement to identify value creation for an organization. So an alternative has been developed to evaluate value creation, known as the economic value model. Most companies present their financial statements based on GAAP, generally accepted accounting principles, but there are some weaknesses when we are trying to figure out a company's value. John Fleming, CPA at Kaplan Financial Education, explains why a net income alternative might be a better measurement in certain situations and to specific companies.

Learning Objectives:

• Identify the differences between net income or earnings per share and economic profit;
• Identify related performance metrics associated with understanding economic profit;
• Recognize how to apply economic profit to a live situation and how the treatment of certain expenses differs when using economic profit vs. GAAP; and
• Determine the strengths and weaknesses of economic profit.

Equity compensation is a way to align the incentives of investors and executives. In economics, this is called a principal-agent problem; any time you need to get something done, you ask someone else (employee) to work on your behalf (shareholder investor.) In the "modern" stage of equity compensation, companies look to design appropriate ways to pay their employees using a combination of stock and a wide universe of equity instruments. But is this the only reason to pay in equity, besides alignment of incentives? Josh Schaeffer, director of Valuation and HR Advisory Practice at EquityMethods, starts our segment by addressing that very question.

Learning Objectives:

• Identify reasons for giving stocks and reasons why equity compensation can be part of a portfolio;
• Recognize what stakeholders and investors care most about;
• Determine other financial instruments for consideration and the two primary forms of options; and
• Identify the key models of restricted stock.

On June 16, 2016 the FASB issued Accounting Standards Update No. 2016-13, Financial Instruments - Credit Losses (Topic 326). The new guidance requires organizations to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable and supportable forecasts. It affects organizations that hold financial assets and net investments in leases that are not accounted for at fair value, and amongst other areas on the balance sheet, also affects loans and debt. ASC-326 is certainly a very complex standard. Chris Brown, senior managing director, Forensic & Litigation Consulting at FTI Consulting, discusses in detail the accounting standard and the reasons that drove FASB to issue it.

Learning Objectives:

• Understand the reasons behind FASB's decision to issue CECL;
• Identify ways the COVID-19 impacted CECL portfolio specific conditions;
• Recognize modeling risks associated with CECL and considerations for preparers; and
• Identify control considerations when developing estimates.

Property or accounts within financial institutions or companies that have not been claimed by their owner and have no activity for a year or more can be classified as unclaimed property, and if there is no contact or change, that property needs to be turned over to the state. But before that last step, when the dormancy period has passed, the entity has the responsibility to perform due diligence and make many attempts to locate the owner of the abandoned property. State Unclaimed Property Laws and Regulations seem to differ from other business regulations and tax requirements in a number of ways, including when a state law applies and the types of items to which it applies. Karen Anderson, director, and William King, tax managing director, State and Local Tax, at KPMG LLP, discuss unclaimed property reforms and challenges and explain some of the anomalies and the ways they impact businesses.

Learning Objectives:

• Identify differences between unclaimed property laws and tax laws;
• Recognize the most common unclaimed property types for businesses;
• Understand voluntary disclosure programs and how they may mitigate penalties, interest, audits and examinations for noncompliance; and
• Determine how items can become unclaimed property and what the triggers are.

In July 2020, the Delaware Court of Chancery reversed a subpoena issued by the Delaware Department of Finance (the Department) in the course of an ongoing unclaimed property audit of AT&T. The issuance of the Department's subpoena on behalf of the State Escheator was initiated in 2021 requesting AT&T's records going back 20 years from the commencement of the audit to 1992! Karen Anderson, director, and William King, tax managing director, State and Local Tax, at KPMG LLP continue our segment on unclaimed property reforms and challenges and discuss administrative subpoena authority. Are state administrators who have this authority issuing administrative subpoenas in unclaimed property audits? And are there any restrictions of the types of information that can be subpoenaed?

Learning Objectives:

• Identify how unclaimed property audits are administered by states;
• Recognize ways to mitigate exposure and avoid data breaches;
• Determine the exclusions from the definition of gift certificates, store gift cards and other general-use prepaid cards; and
• Understand how COVID-19 has impacted unclaimed property compliance and enforcement.

The Section 1202, qualified small business stock (QSBS) gain exclusion has gone unnoticed for years since its enactment in 1993 but has gained popularity recently as a go-to tax planning strategy with significant benefits to shareholders who are selling. It is a tax incentive for sellers of qualifying C corporations and encourages investment opportunities in small businesses. Dan Mayo, principal at WithumSmith+Brown, discusses Section 1202 in further detail and explains what makes it a hot topic today.

Learning Objectives:

• Understand the meaning of qualified small business stock (QSBS) and how the QSBS gain exclusion applies;
• Identify the requirements for issuers and shareholders to qualify for the gain exclusion;
• Determine what the asset use test entails and the requirements of company subsidiaries; and
• Understand the consequences when forced to sell before the 5-year holding period requirement.
Prerequisites/Advanced Preparation: Work experience in tax planning or tax compliance, or an introductory course in taxation.
Author/Speaker: Dan Mayo

Artificial intelligence (AI) is no longer science fiction. It is all around us, and it is even being used in accounting and finance. Dave Sackett, chief solutions architect with Visibility Corporation, provides an update on the uses of AI in business today as well as what is likely to come in the future. He also describes the pros and cons of AI use and the associated privacy and governance issues involved.

Learning Objectives:

• Describe the different uses of artificial intelligence (AI) in finance;
• Recognize the pros and cons of AI use;
• Describe what is meant by the term "responsible AI"; and
• Recognize what the future of AI in finance will look like.

The pandemic surely led to what we often refer to as "The Great Resignation," a massive exodus of talent, the likes of which has never been seen before. Harry Osle, chief human resources officer at The Hackett Group, talks about questions raised by company leaders about the future of work. It is a "let's make a deal" game between employers and employees, establishing a psychological contract between the two parties and leaving only one question on the table: "What are you willing to offer, in exchange for the expertise and time I will put into my work?" And the answer is? Brace for impact!

Learning Objectives:

• Understand the key reasons for the massive exodus from organizations;
• Identify the impact of The Great Resignation from both the employee and employer perspective;
• Determine ways companies can measure productivity in a remote working environment; and
• Understand the future of work and its challenges and opportunities.

During the pandemic there has been a flurry of merger and acquisition activity. Brian Sarkis, founder and executive director at the Franklin Nova Group, explains how the pandemic has forced companies to think differently and reviews the key factors that are driving M&A deals. Other topics include how impairment issues are affecting M&A transactions and the lasting impact of the pandemic on mergers and acquisitions activity.

Learning Objectives:

• Recognize what the M&A market has been like during the pandemic;
• Describe how the pandemic has forced companies to think differently;
• Identify M&A deal structure issues; and
• Recognize the lasting impact of the pandemic on M&A.

Convertible bonds are always a discussion item as companies are often concerned with proper classification. FASB simplified issuer's accounting for convertible instruments and contracts on an entity's own equity with issuance of ASU 2020-06, in an effort to reduce unnecessary complexity currently in U.S GAAP. Josh Schaeffer, director at Equity Methods, discusses the sexy side of debt and why convertible bonds are gaining more and more popularity, especially in times of financial crisis.

Learning Objectives:

• Describe the main changes under ASU 2020-06 on the treatment of convertible bonds;
• Identify some of the key features of convertible debt and the main reasons to issue convertible bonds;
• Recognize the accounting considerations of convertible bonds; and
• Understand the complexities of embedded derivatives.

Recently, there have been a number of developments that have continued the trend to greater reporting on sustainability. This has resulted in sustainability becoming more and more important to accountants both in public practice and in corporations. Manjula Lee, founder and CEO of World Wide Generation, discusses the importance of having trusted data, and how to look at your company's sustainability efforts through a SEE (Social, Economic and Environmental) lens.

Learning Objectives:

• Describe how to look at your company's operations through a SEE lens;
• Recognize why the UN Sustainable Development Goals are important;
• Describe the financial manager's role in sustainability; and
• Recognize what pitfalls to avoid in order to make your sustainability efforts more successful.

The PCAOB and the Center for Audit Quality recently released reports on the implementation of Critical Audit Matters (CAMs) reporting. Dan Goelzer, one of the founding members of the PCAOB, provides an update on the findings in those reports and their implications for accountants and auditors. He also reviews the three principal causes of fraud as outlined in a report published by the Anti-Fraud Collaboration group

Learning Objectives:

• Recognize what a Critical Audit Matter (CAM) is;
• Describe the results from recent studies on CAMs;
• Recognize the accounting problems that could result from the global pandemic; and
• Identify the three principal causes of fraud according to a study by the Anti-Fraud Collaboration group.

Potter Stewart, U.S. Supreme Court Justice, once said, "Ethics is knowing the difference between what you have a right to do and what is right to do." But is it really the question of "What is the right thing to do?" or it is deeper than that, as in "How do we get the right thing done?" Steven Mintz, professor emeritus, California Polytechnic State University, San Luis Obispo, gives us his views on ethics and social responsibility and if the ethical decision-making models used to teach ethics to accounting students really work.

Learning Objectives:

• Recognize the fraud triangle;
• Understand the modifications in the area of whistleblower protection under the Dodd-Frank Act;
• Identify steps to be considered when making ethical decisions; and
• Recognize the difference between ethical decision-making models and the PLUS model.

Contemporary cost accounting for manufactured inventories is based on 73-year-old Generally Accepted Accounting Principles (GAAP). With overhead as a percentage of total manufactured costs having increased significantly since the original rule was developed, the opportunity for "earnings management" in financial statements has also increased. The implications are broad and do not impact only manufacturing companies. Jonathan Schiff, PhD and professor of accounting at Fairleigh Dickinson University, makes the case to reconsider this aspect of GAAP with a view towards improving alignment with the current business reality.

Learning Objectives:

• Describe the problems encountered with full absorption accounting;
• Recognize how the percentage of overhead to total manufactured costs has changed;
• Identify the risks presented by use of full absorption accounting under today's GAAP; and
• List examples of earning management.

The AICPA has issued guidance in 2021 on a number of issues that impact the auditor's work. In February, an Exposure Draft was issued dealing with Non-Compliance with Laws and Regulations (NOCLAR). In June, new guidance was issued on the use of specialists and pricing information. Ahava Goldman, associate director with the AICPA, reviews the standards in detail and explains the implications of the new rules.

Learning Objectives:

• Describe the AICPA changes dealing with Non-Compliance with Laws and Regulations (NOCLAR);
• Recognize how to make and document inquiries related to NOCLAR;
• Describe the new AICPA guidance for situations where a specialist is used and when pricing information is obtained from external sources; and
• Identify the factors that may affect the relevance and reliability of the management specialist's work and that of pricing information.

In January 2021, President Biden sent an immigration bill to Congress in his effort to modernize the current immigration system. The U.S. Citizenship Act of 2021 will provide pathways to citizenship and strengthen labor protections, prioritize smart border controls, and address root causes of migration. Roxanne Levine, partner at Tarter, Krinsky & Drogin and an immigration law expert for over 25 years, reviews the most significant changes in the new immigration comprehensive reform proposal under the Biden administration.

Learning Objectives:

• Understand the key provisions of the U.S. Citizenship Act of 2021;
• Identify other significant areas of proposed new immigration legislation;
• Recognize the areas where the current immigration system needs to be revamped; and
• Understand the overall need of high and lower skilled foreign workers and the potential impact on certain industries as well our social security system.

The pandemic has resulted in a dramatic increase in working from home, and with working from home comes changing expectations. The remote environment that has existed in the pandemic has put some strain on the relationship between managers and employees. Julie Kantor, executive coach, management consultant and founder of JP Kantor Consulting, reviews the issues that have developed from a work from home environment during the pandemic. She also offers some suggestions for how to improve the new experience for employees and managers alike.

Learning Objectives:

• Recognize how communication between employees and employers has changed in the pandemic;
• Describe what companies are doing to deal with the new communication challenges;
• Recognize the importance of establishing a psychologically safe environment; and
• Identify some steps managers can take to engage with employees.

There are a number of new developments and issues impacting corporate taxation. Ed Zollars, a partner with Thomas, Zollars & Lynch, Ltd., reviews a number of recent court cases, IRS Technical Advice Memorandums and other guidance from the IRS on the following topics: operation of the new research credit amended return procedures, current rules for business meal deductions, and recent court decisions related to the all events test.

Learning Objectives:

• Describe the information taxpayers are required to include for a research claim to be considered valid
• Recognize what happens if the IRS determines your research claim is deficient
• Describe the current rules for deductibility of business meals
• Recognize when the all events test is met

Insurance companies bet on uncertainty and inherent risk, focusing on both commercial and personal lines, and use the Insurance Services Office, ISO, as their administrative backbone. David Peters, tax practitioner and financial advisor at Peters Tax Preparation & Consulting, continues our segment by explaining ISO policies and elements common to both ISO policies and property and casualty insurance.

Learning Objectives:

• Understand the role of ISO and commonalities between ISO and property & casualty policies following the ISO or establishing their own language,
• Identify what is covered under a commercial property insurance policy,
• Recognize the importance of having cyber security coverage, and
• Understand the types of insurance agreement under cyber policies.

The COSO Framework has become the best practice basis for designing, implementing, and applying internal controls and assessing the effectiveness of these controls. John Fleming, education discussion leader at Kaplan Financial Education, discusses the framework that defines internal controls and describes the requirements for effective internal control, including components and relevant principles. He provides direction for all levels of management to use in designing, implementing, and conducting internal control and assessing its effectiveness.

Learning Objectives:

• Understand the provisions under the COSO framework
• Define internal controls and what an effective internal control system means,
• Recognize key controls and the importance of entity level controls, and
• Identify the COSO framework objectives and components

The role of the accountant continues to evolve. Jeff Thomson, president and CEO of the Institute of Management Accountants, describes the megatrends that are occurring within the profession today. He outlines the steps that accountants need to take in order to remain relevant and take advantage of the opportunities brought on by digital transformation.

Learning Objectives:

• Identify the megatrends happening in accounting today
• Recognize the importance of agility
• Describe the keys aspects of finance transformation
• Recognize what is involved in the race for relevance

There are certainly several types of qualified retirement plans available and it is often confusing for employers of different sizes to decide what would work best for their employees and their beneficiaries. A qualified plan is any plan that is described under Internal Revenue Code ("Code") Section 401(a) and must satisfy the Code in both form and operation. David Peters, a tax practitioner and financial advisor for Peters Professional Education, discusses various qualified retirement plans - their benefits as well as their limitations.

Learning Objectives:

• Understand the IRS definition of qualified retirement plans and related exceptions under IRC Section 401(a),
• Recognize the differences between defined benefit plans and defined contribution plans,
• Identify the special rules pertaining to 401(k) plans and optional features, and
• Recognize the differences between cash benefit plans, target benefit plans, SEPs, and SIMPLE IRAs.

Companies frequently use share-based payments to compensate both employees and nonemployees. They can often be used to incentivize performance. However, the accounting for these types of transactions can be quite challenging. Bruce Pounder, Executive Director of GAAP Lab, provides an overview of share-based payments and explains how they are accounted for.

Learning Objectives:

• Describe what share-based payments are,
• Recognize the U.S. rules for accounting for share-based payments,
• Describe the ways in which accounting for share-based payments can get more complicated, and
• Recognize how to account for share-based payments to employees of a subsidiary.

Share-based payments often come with strings attached. These kinds of conditions can complicate the accounting for share-based payments. An employee might be required to work a certain number of months to be entitled to stock options or a stock grant might be contingent on reaching a sales goal. Bruce Pounder, Executive Director of GAAP Lab, reviews these conditions and explains what you can do to manage the risks when making share-based payments.

Learning Objectives:

• Describe the conditions associated with share-based payments,
• Recognize the accounting implications brought about by the conditions associated with share-based payments,
• Describe the concerns that the SEC has related to share-based payments, and
• Recognize how to manage the risks associated with share-based payments.

Shortly after the shutdown last year, the federal government offered various types of assistance programs for both individuals and businesses. Loans, debt relief and grants were available in an effort to stabilize the financial markets and sustain some companies, though others were unable to withstand the blow of the pandemic and filed for bankruptcy or restructuring. Asset-based lenders, commercial banks, and non-bank financial institutions were faced with unforeseen situations, one of which was supply chain disruptions. Paul Schuldiner, EVP & division manager for Rosenthal Trade Capital, and Vincent Iacopella, EVP of growth and strategy for Alba Wheels Up, discuss in detail the impact of supply chain disruption in businesses, lending and the underwriting process.

Learning Objectives:

• Understand the changes in the marketplace during COVID
• Identify the ramifications of supply chain disruptions
• Identify the Future of cross-border financing
• Determine the impact of supply chain disruptions on lending

U.S. Customs and Border Protection (CBP) has put several programs in place, one of which is Section 321. In August 2020, the CBP issued an administrative ruling that clarifies the Section 321 duty-free exemption status of certain low-value shipments sent to U.S. fulfillment centers and domestic warehouses. Paul Schuldiner, EVP & division manager for Rosenthal Trade Capital, and Vincent Iacopella, EVP of growth and strategy for Alba Wheels Up, talk about the shift to e-commerce and Section 321, as well as other major changes in rules and regulations for various modes of transportation as a result of the pandemic and how it reshaped logistics.

Learning Objectives:

• Understand key considerations for lenders with respect to commerce
• Identify the changes in the rules and regulations for various modes of transportation as a result of the pandemic
• Recognize lessons learned from the pandemic in lending and logistics
• Recognize steps taken by companies who were successful during the pandemic

The world has changed dramatically since March of 2020. The issues that were keeping executives up at that time have been dwarfed by new challenges such as the pandemic, supply chain, inflation and employee turnover. Frank Castillo, a CPA, author and instructor, explains what executives can do to develop a strategy to navigate through these difficult times.

Learning Objectives:

• Recognize the issues that are keeping executives up at night
• Describe how employees are feeling about work today
• Recognize the cost of employee turnover
• Describe what executives should be doing to meet today's challenges

Companies struggle to provide employees with a set of guidelines that enable them to make decisions that meet the standards for effective and ethical decisions. Steven Mintz, Professor Emeritus at California Polytechnic State University, describes one approach, the PLUS Ethical Decision-Making Model. He also discusses what a company can do to establish an ethical environment, the signs of ethical collapse, and the steps an individual should follow when facing an ethical dilemma.

Learning Objectives:

• Recognize what the PLUS Ethical Decision-Making model is based on;
• Describe the things an organization needs to do to establish an ethical organization;
• Recognize the differences between System 1 and System 2 thinking; and
• Describe what motivates employees to speak out or not to speak out.
• Recognize what the plus ethical decision-making model is based on; Describe the things an organization needs to do to establish an ethical organization; Recognize the differences between System 1 and System 2 thinking; Describe what motivates employees to speak out or not to speak out

Partnerships are a unique taxable entity, partly because partners can generally share items of income, deductions, gains and losses, based on any predetermined percentage. These allocations, however, must have substantial economic effects. S corporations are similar to partnerships because both S corporations and partnerships are flow-through entities, meaning no tax is paid at the entity level. This segment will discuss how to determine substantial economic effect, as well as the importance of distribution equalization and its impact on S corporation elections.
Learning Objectives:

• Identify the key features of qualified business income deduction,
• Understand the implications of shareholder distributions in an S corporation,
• Recognize the differences of basis calculation between S corporations and partnerships, and
• Understand the four tiers of losses that individual taxpayers have to go through in order to take a loss on their individual tax return.

Prerequisites/Advanced Preparation: Work experience in tax planning or tax compliance, or an introductory course in taxation.
Speaker/Author: David Peters

Tax Reimagined is a technology-enabled holistic approach created by KPMG to help organizations develop and implement a customized operating model for their tax and finance functions. KPMG Partners Irene Shen and Richard Cimino discuss how companies can reduce costs, mitigate risks, improve quality, and drive more strategic value across the organization.
Learning Objectives:

• Recognize the important stages of the tax reimagined approach
• Describe the key findings from the 2021 KPMG Outlook Survey
• Recognize the challenges faced by tax functions today
• Apply the guiding principles for technology investment in the tax function

Prerequisites/Advanced Preparation: Work experience in financial reporting or accounting, or an introductory course in accounting.
Speaker/Author: Irene Shen, Richard Cimino

An Enterprise Risk Management program helps companies manage risks and accomplish their business goals. John McLaughlin, Executive Director and Founder of ERM Exchange reviews the key aspects of an ERM program including the role of culture, how to assess your ERM program, and the keys to tying ERM into overall company strategy.
Learning Objectives:

• Recognize the steps in starting an ERM program
• Describe how ERM ties into a company's strategy
• Recognize the role of culture in enterprise risk management
• Identify the goals of business risk assessment

Prerequisites/Advanced Preparation: Work experience in a corporate staff environment, or an introductory course in management.
Speaker/Author: John McLaughlin

A successful accountant is one who has the ultimate trust of their colleagues, clients and the general public. One of the most important aspects of maintaining this trust is the CPA’s unwavering ethical principles, both personally and professionally. The AICPA Code of Professional Conduct calls for CPAs to follow a set of specific rules and to always "act with integrity, objectivity, due care, competence, and to fully disclose any conflicts of interest." This program will provide the CPA with a thorough understanding of 2 intertwined ethical concepts – confidentiality and conflict of interest.
Learning Objectives:

• Apply the definition of confidential information to both private industry and public accounting.
• Differentiate exceptions to the CPA’s ability to release confidential client information.
• Recognize various situations in which conflicts of interest typically arise.
• Identify the three steps in addressing conflicts of interest and the two types of conflict of interest disclosure.

Advanced Preparation/Prerequisites: Work experience in a corporate staff environment, or an introductory course in ethics.
Speaker/Author: Kenneth Heaslip

The Tax Cuts and Jobs Act (TCJA), passed in 2017, didn’t change what a taxpayer can deduct on a federal level, such as property taxes, real estate taxes, sales tax etc., but it put a cap on these deductions. So, instead of adding all those taxes together and being able to deduct all of them, you are limited to $10,000, which has a significant impact on states with high income and real estate taxes. Lynn Mucenski-Keck, national tax , service group leader at Withum, gives us the highlights of the passthrough entity tax (PTET) and state and local tax (SALT).
Learning Objectives:

• Apply a state passthrough entity tax (PTET) and determine the benefits taxpayers receive from it,
• Identify how the PTET deduction is allocated to the various shareholders or members,
• Recognize the background of Notice 2020-75 and what a specified income tax payment is, and
• Determine when the tax benefit rule is applicable and how it works.

Prerequisites/Advanced Preparation: Work experience in tax planning or tax compliance, or an introductory course in taxation.
Speaker/Author: Lynn Mucenski-Keck

Special purpose acquisition companies, SPACs, have become the next big thing in equity markets. By providing a lower-barrier alternative, these companies have become, in some ways, the main way companies go public today. Josh Schaeffer Schaeffer, Head of Complex Securities Valuation with Equity Methods, explains everything you need to know about SPACs and provides an update on the latest developments related to this investment vehicle.
Learning Objectives:

• Interpret the overall SPAC model,
• Determine the features in SPAC warrants that may result in liability treatment,
• Distinguish how an FPA, a PIPE and convertible notes work, and
• Recognize why CPAs need to know about SPACs.

Prerequisites/Advanced Preparation: Work experience in financial reporting or accounting, or an introductory course in accounting.
Speaker/Author: Josh Schaeffer

When it comes to compensating employees, companies are getting more creative. However, it is important to remember that any time we give an employee something of value, whether it’s special access to the company car during personal time, access to a corporate jet for personal use, or anything else of value, it is going to be treated as compensation unless there’s an IRS publication or some IRS authority that says otherwise. David Peters, tax practitioner and financial, advisor at Peters Tax Preparation & Consulting, gives us an overview of various types of executive compensation and the potential tax implications.
Learning Objectives:

• Differentiate the types of transactions the IRS recognizes as gross income under IRC section 61,
• Recognize fringe benefits and how they are treated under publication 15-B,
• Identify the types of the executive compensation plans available, and
• Categorize some of the problems that companies and/or employees face with respect to employee stock

Prerequisites/Advanced Preparation: Work experience in tax planning or tax compliance, or an introductory course in taxation.
Speaker/Author: David Peters

The COSO Framework has become the best practice basis for designing, implementing, and applying internal controls and assessing the effectiveness of these controls. John Fleming, long-time Kaplan , Financial Education discussion leader, reviews the COSO Framework’s five major components and 17 principles of effective internal control. He describes the various points of focus related to the principles and assesses their significance.
Learning Objectives:

• Categorize the primary concepts that define internal control,
• Identify the five components of internal control under the COSO Framework,
• Recall key elements of the five components of internal control, and
• Recognize the characteristics of the COSO Framework’s 17 principles of internal control

Prerequisites/Advanced Preparation: Work experience in financial reporting or accounting, or an introductory course in accounting.
Speaker/Author: John Fleming

Protiviti's 2021 Global Finance Trends Survey reveals an unambiguous conclusion. The world, business and finance teams have entered a new era and there is no going back. Tim Hird, executive vice president with Robert Half, and Jay Thompson, a managing director with Protiviti, review the results of the survey focusing on how financial executives feel about issues such as forecasting and planning, robotic process automation, data, and talent management.

Learning Objectives:

• Identify the major themes that came out of the Protiviti 2021 Global Finance Trends Survey;
• Describe the challenges involved with forecasting today;
• Recognize how robotic process automation is changing the role of the accountant; and
• Describe how remote and hybrid work are changing the way finance operates.

Accounting outsourcing services, often provided by CPA firms, accounting and financial professionals and consulting firms, have been around for a while and have gained more popularity in the last two years. This was a trickle down effect of the pandemic and the great resignation. Small and medium enterprises found themselves unable to manage their day-to-day workload as they were left with minimal to no staff, or staff filling unfamiliar roles and tasks. Jason Pourakis, partner, accounting and advisory service line leader and Marine Rollinger, partner, accounting outsourcing services practice leader, at Mazars USA, discuss the world of accounting outsourcing.

Learning Objectives:

• Understand the meaning of accounting outsourcing and the types of services provided
• Recognize the advantages of using accounting outsourcing for privately held and publicly traded companies
• Identify ways risk is reduced by the use of outsourcing
• dentify some of the important considerations when choosing a firm to outsource your books

Building a successful risk management program is not as straightforward as one might think. It includes several focus areas such as a full risk management assessment and process, a regularly updated and evaluated risk register, and a comprehensive insurance program that starts with a package policy. David Peters, tax practitioner and financial advisor at Peters Tax Preparation & Consulting, discusses how to build an effective risk management program and the main risks controllers and financial professionals typically face.

Learning Objectives:

• Identify the six risk control techniques when building a risk management program,
• Understand the difference between transferring risk and risk retention,
• Determine the two components of risk register scoring and the ways to potentially change the score, and
• Understand the main sections of insurance policies that you must not ignore.

Accounting and finance professionals need a variety of tools today to become effective leaders in their organizations. Amongst those tools are three in particular, delegating, coaching and mentoring, that have nothing to do with technical competencies. Dr. Belinda Johnson White, founder, owner and managing director of Building Leaders LLC, discusses what each of those tools entails, the steps to take in order to be effective, and the benefits to both the employees and the organization when done right.

Learning Objectives:

• Recognize why delegating is important
• Describe the benefits of delegating to the employee and to the organization
• Recognize the skills needed for coaching and mentoring
• Identify the four steps in the coaching process

The SEC has been very hands-on recently with respect to their agenda. Takis Makridis, CEO of Equity Methods and David Outlaw, director of valuation and HR advisory services at Equity Methods, give us an update. They give us insights on climate-related disclosures requiring registrars to include these in their registration statements and periodic reports, equity compensation disclosures, proposed rule 402(x) on Reg S-K, SAB no. 120, the proposed share repurchase disclosure rule and more.

Learning Objectives:

• Understand the rules proposed by the SEC on climate-related disclosures in registrant statements and periodic reports,
• Identify the potential impact of Section 194-b in the U.S. NYS Senate Bill S5598B,
• Understand the SEC’s proposed update on rule 10b5-1 on affirmative defense and the implications of proposed item 402(x) addition
• to Reg S-K, and
• Identify the accounting guidance on spring-loaded awards under SAB No. 120.

Back in 2020, the human capital disclosures became mandatory and the SEC took a principle-based approach. Takis Makridis, CEO of Equity Methods and David Outlaw, director of valuation and HR advisory services at Equity Methods, discuss the new era of financial reporting. This includes non-financial disclosures, ISS updates to burn rate methodology, how these are displayed in the 2022 reports and why they matter and the impact of macroeconomic factors on compensation strategies.

Learning Objectives:

• Recognize how to approach the SEC's human capital disclosure requirements,
• Describe how macroeconomic factors are impacting compensation strategies,
• Recognize the critical factors relating to equity compensation today, and
• Describe the trend towards more insight-focused topics in accounting.

Prior to Covid-19, leading accounting and finance functions were deploying more flexible labor models. This trend only accelerated after the pandemic which helped companies deal with the many new challenges. Tim Hird, Executive Vice President with Robert Half and Jay Thompson, Managing Director with Protiviti explore this shift and the implications for both companies and workers alike.

Learning Objectives:

• Identify the factors that are driving companies to use flexible labor models;
• Recognize how to work with contractors, outsourcers, and managed service providers;
• Describe what is meant by the Shamrock Organization; and
• Recognize the financial and nonfinancial things that are important to employees.

The pandemic has taught us how important leadership is. When faced with the challenges brought on by the pandemic, companies with strong and effective leaders weathered the storm and in fact many prospered. Author, lecturer, and CPA Frank Castillo discusses the importance of trustworthiness, the root causes of burnout, and what leaders should be doing to meet today's challenges.

Learning Objectives:

• Recognize how to strengthen the bonds of trust
• Describe the root causes of burnout
• Recognize what the office of tomorrow will look like, and
• Describe what leaders should be doing to meet today's challenges.

Digital transformation is one of the top trends in 2021 and the pandemic helped accelerate the process. Several enterprises adopted ERPs in the cloud or next-gen ERPs, enabling them to access data remotely, others adopted robotic process automation, establishing rules and structured data to automate business processes, and others are somewhere in between. The COVID-19 crisis has triggered an acceleration in the adoption of finance technologies. Nilly Essaides, senior research director of finance, EPM and FinOps and Bill Marchionni, senior director, finance advisor at The Hackett Group, continue our segment on 2021 Key Issues identified in their survey and give us their insights on aggressive growth projections for several tools and solutions, the top growth areas for finance digital transformation and more.

Learning Objectives:

• Understand the meaning of a service delivery model and how it supports a business;
• Identify the main concerns of moving the finance function into the cloud;
• Recognize the importance of talent management and how it has transitioned; and
• Understand the mentality of forward-thinking organizations.

In every insurance policy, there are various provisions that restrict coverage and it is critical, especially in this environment, for enterprises to read their policies carefully and understand their rights, responsibilities and what is and is not covered. Extra Expense Coverage may be included in a Business Interruption Policy to cover additional costs in excess of normal operating expenses. Business interruption may also be triggered in a Cyber Security Insurance policy. Kristen Walker, vice president and Chris Wilkerson, president of Financial Risk Solutions at Greyling Insurance Brokerage & Risk Consulting, continue our segment on business interruption insurance and give us more information on extra expense coverage and cyber liability insurance.

Learning Objectives:

• Identify important considerations under cyber liability coverage;
• Recognize the impact of COVID-19 on businesses with respect to their business interruption coverage;
• Determine how bad actors can impact a business; and
• Understand the steps to be taken after filing a claim.

For over a decade, The Hackett Group has been running a survey to identify key issues CFOs, corporate executives and business leaders are facing and provides them with emerging enterprise themes that will influence finance in the upcoming year. The December 2020 study introduced three new items to the list of key finance objectives, reflecting the COVID-19 reality; improving finance agility, aligning skills and talent to changing business needs, and optimizing working capital management. Nilly Essaides, senior research director of finance, EPM and FinOps, and Bill Marchionni, senior director, finance advisor at The Hackett Group, discuss key issues for 2021 and how 2020 has affected this year's accounting and finance list of priorities.

Learning Objectives:

• Identify the important distinctions when it comes to estimates;
• Understand the focus areas of financial planning and analysis;
• Recognize how the accounting and finance value proposition has changed; and
• Identify the most important results of process automation.

A few months after the lockdown in 2020, many enterprises were assessing their financial results and even to this day, even more businesses are trying to decide if they can remain in business. Many filed business interruption claims with their insurance companies only to find out their losses were not covered and their claims were denied. Kristen Walker, vice president and Chris Wilkerson, president of Financial Risk Solutions at Greyling Insurance Brokerage & Risk Consulting, discuss insurance coverage for business interruption, exposure calculation, limits and claim filing.

Learning Objectives:

• Understand the meaning of business interruption and extra expense coverage;
• Recognize the different applications of business interruption within industries;
• Understand risk of loss, expected exposure, and insurance policy structure; and
• Identify the difference in business interruption between property and cyber coverages.