Jay E. Fishman

Standards of Value

Theory and Applications

• Gebundenes Buch

Produktbeschreibung

Expert direction on interpretation and application of standards of value

Written by Jay Fishman, Shannon Pratt, and William Morrison--three renowned valuation practitioners--Standards of Value, Second Edition discusses the interaction between valuation theory and its judicial and regulatory application. This insightful book addresses standards of value (SOV) as applied in four distinct contexts: estate and gift taxation; shareholder dissent and oppression; divorce; and financial reporting. Here, you will discover some of the intricacies of performing services in these venues.
Features new case law in topics including personal good will and estate and gift tax, and updated to cover the new standards issued since the first edition
Includes an updated compendium discussing the standards of value by state, new case law covering divorce, personal goodwill, and estate and gift tax, and coverage of newly issues financial standards
Shows how the Standard of Value sets the appraisal process in motion and includes the combination of a review of court cases with the valuator's perspective
Addresses the codification of GAAP and updates SOV in individual states

Get Standards of Value, Second Edition and discover the underlying intricacies involved in determining "value."

Produktdetails

• Wiley Finance Series
• Verlag: Wiley & Sons
• Artikelnr. des Verlages: 1W118138530
• 2. Aufl.
• Seitenzahl: 496
• Erscheinungstermin: 22. April 2013
• Englisch
• Abmessung: 231mm x 155mm x 38mm
• Gewicht: 738g
• ISBN-13: 9781118138533
• ISBN-10: 1118138538
• Artikelnr.: 36880567

Autorenporträt

JAY E. FISHMAN, FASA, is coauthor or contributing author of seven professional books. He is a managing director of Financial Research Associates, a regional business valuation and forensic accounting firm. He has conducted hundreds of business valuations and has qualified as an expert witness and provided testimony in several federal and state courts. SHANNON P. PRATT is one of the most successful and respected authors in the field of business valuations. He has written many industry standard texts. Over a distinguished career spanning more than four decades, he has performed valuation engagements for M&As, ESOPs, and numerous other purposes. Dr. Pratt is CEO of Shannon Pratt Valuations, a business valuation firm located in Portland, Oregon. WILLIAM J. MORRISON, CPA, ABV, CFF, is a partner at WithumSmith+Brown, a regional mid-Atlantic CPA firm, and is frequently appointed by the courts as a valuation expert. He has published articles on forensic accounting and valuation. He is a former FBI agent and has conducted thousands of forensic accounting investigations and business valuations of closely held companies.

Inhaltsangabe

Foreword xiii Preface xvii Acknowledgments xxi About the Authors xxv
Introduction 1 Purpose 1 Every Appraisal Is Unique 3 Fair Value versus Fair
Market Value 4 Historical Perspective 5 Chapter Preview 8 Chapter 1: Common
Standards and Premises of Value 8 Chapter 2: Fair Market Value in Estate
and Gift Tax 8 Chapter 3: Fair Value in Shareholder Dissent and Oppression
9 Chapter 4: Standards of Value for Partnership and Limited Liability
Company Buyouts 10 Chapter 5: Standards of Value in Divorce 12 Chapter 6:
Fair Value in Financial Reporting 13 How Standard of Value Can Affect the
Ultimate Conclusion of Value 13 Chapter 1 Common Standards and Premises of
Value 17 Common Standards and Premises 17 Price, Value, and Cost 17
Defining a Standard of Value 19 Premises of Value 20 Common Standards of
Value 21 Fair Market Value 21 Fair Value 23 Investment Value 24 Intrinsic
Value 25 Book Value 27 Common Operational Premises Underlying the Standard
of Value 28 Going Concern 28 Liquidation Value 29 Fair Value in Alternative
Contexts 30 Fair Market Value in Alternative Contexts 31 Standards of Value
in the International Context 32 Summary 33 Chapter 2 Fair Market Value in
Estate and Gift Tax 35 Introduction 35 Common Definitions of Fair Market
Value 36 History of Fair Market Value 37 United States v. Fourteen Packages
of Pins 38 Elements of Fair Market Value 41 Price at Which a Property Would
Change Hands 42 Willing Buyer 44 Willing Seller 54 No Compulsion to Buy or
Sell 59 Reasonable Knowledge of Relevant Facts 63 Common Discounts 80
Summary 87 Chapter 3 Fair Value in Shareholder Dissent and Oppression 89
Gilbert E. Matthews and Michelle Patterson Fair Value as the Standard of
Value in Dissent, Oppression, and Entire Fairness Cases 89 The Appraisal
Remedy for Dissenting Shareholders 94 History and Overview of the Appraisal
Remedy 94 Appraisal Rights Today 97 Appraisal Rights in Publicly Traded
Corporations: The Market Exception 99 Fair Value Can Be Less Than
Arms'-Length Price 102 The Oppression Remedy 106 Development of the
Oppression Remedy 106 Context of Oppression Remedy 107 Dissolution as a
Remedy for Oppression 110 Shareholder Buyouts as an Alternative Remedy 110
Examples of Oppression 116 Fair Value Is the Standard of Value in Appraisal
and Oppression in Almost All States 121 Fair Value as Defined by Various
Authorities and Statutes 121 The Valuation Date--Before the Effectuation of
the Corporate Action to Which the Shareholder Objects 125 Valuation Date in
Appraisal Cases 125 Valuation Date in Oppression Cases 126 Customary and
Current Valuation Techniques 130 Fair Value in Delaware 139 Delaware Fair
Value Standards 139 Entire Fairness in Delaware 140 Components of Fair
Value in Delaware 144 Ohio's Unique and Unfavorable Standard of Value in
Appraisals 155 Fair Value Normally Excludes Discounts and Premiums 157 Most
States Now Reject Minority and Marketability Discounts 157 Levels of Value
159 Discounts at the Shareholder Level 160 The "Implicit Minority Discount"
163 No Premiums Are Applicable to DCF Values 167 Discounts at the Corporate
Level 168 Control Premiums at the Corporate Level 169 Some States Permit
Considering Extraordinary Circumstances in Determining Whether to Apply
Discounts 171 Court Decisions Have Moved toward Rejecting Discounts 172
Equitable Adjustments to Fair Value 188 Consideration of Wrongdoing in
Calculating Fair Value 188 Damage Claims 193 Summary 194 Chapter 4
Standards of Value for Partnership and Limited Liability Company Buyouts
197 Noah J. Gordon Introduction 197 Buyout upon Dissociation 198 Buyout in
Lieu of Dissolution 199 Dissenters' Rights 200 Partnerships and Limited
Liability Partnerships (LLPs) 200 Limited Liability Partnerships 201
General Partnership Standard of Value Cases 212 Limited Partnerships 216
Limited Liability Companies, Generally 222 Uniform Acts 223 Buyout in Lieu
of Dissolution 224 Withdrawal and Buyout 228 Dissenters' Rights 231
Professional LLCs 232 LLC Decisions 232 Summary 235 Chapter 5 Standards of
Value in Divorce 237 Introduction 237 Marital Property: General Background
and History 240 Identification of Marital Property and Separate Property
242 Relationship between Valuation and Identification of Intangible Assets
244 Appreciation on Separate Property 246 Premises and Standards of Value
in Divorce 249 Premises of Value 249 Standards of Value 250 Premises of
Value Revealed through the Valuation of Insurance Agencies 255 Concepts of
Value under the Two Premises 257 Standards of Value in Divorce among the 50
States 258 Lack of Statutory Insight 258 Revealing Standard of Value
through Case Law 260 Toward a Standard of Value Classification System 265
Value in Exchange 274 Goodwill 274 Lack of Control and Marketability
Discounts under Value in Exchange 290 Fair Value 293 Buy-Sell Agreements
under Value in Exchange 299 Value to the Holder 304 Goodwill 304 Double
Dipping 315 Shareholder-Level Discounts under the Value to the Holder
Premise 317 Fair Value 317 Buy-Sell Agreements under Value to the Holder
318 Summary 320 Chapter 6 Fair Value in Financial Reporting 323 Neil J.
Beaton Introduction 323 Fair Value in Financial Reporting: What Is It? 324
Application of Fair Value 325 History of Fair Value in U.S. Accounting
Literature 328 Application of the Fair Value Standard to Business
Combinations 333 Application of the Fair Value Standard to Asset Impairment
Tests 336 Interpretation of Fair Value Compared to Other Standards of Value
339 Fair Value in Financial Reporting versus Fair Value in Dissenters'
Rights Cases 339 Fair Value in Financial Reporting versus Investment Value
339 Fair Value in Financial Reporting versus Fair Market Value 340 Audit
Issues 342 Summary 343 Appendix: Sources of Information 344 Appendix A
International Business Valuation Standards 347 Introduction 347
International Valuation Standards Council 347 Valuation Organization 348
Broad Definitions 350 Approaches to Valuation 351 Types of Property 352
Toronto Valuation Accord 353 Mission and Objectives 354 Definitions 355
Fair Value Measurement 356 Conclusion 357 Royal Institute of Chartered
Surveyors 358 International Financial Reporting Standards 358 Appendix B
Chart-- Fair Value in Dissent and Oppression 359 Appendix C Standards of
Value in Divorce Classifications by State and Standard of Value 377 Index
443