Fair Value of Assets and Liabilities
Valuation and Technical Reports
Technical depth for complex operations. Confidence to recognize, measure, and decide.
We measure earn-outs, call and put options, intangible assets, and other complex structures, in compliance with CPCs 15 and 46.
We evaluate contingent consideration, such as earn-outs, call and put options, intangible assets, financial instruments, and other assets or liabilities, according to the purpose and characteristics of each transaction. In business combinations, we also support the measurement of the components of the price paid, the identifiable assets acquired, and the liabilities assumed.
CPC 15 stipulates that contingent consideration should be recognized at fair value on the acquisition date, while CPC 46 establishes the technical framework for measuring the fair value of assets and liabilities based on market conditions and the assumptions that would be considered by market participants.
With a consistent methodology, technical foundation, and direct participation from senior professionals, we deliver robust, independent, and documented assessments, enhancing the reliability of accounting records, the quality of financial information, and the security of audit processes.
Each project is developed based on a careful analysis of contracts, financial projections, performance scenarios, risks, market conditions, and the specific characteristics of the item being evaluated.
In earn-out cases, for example, we consider the projected targets, the probabilities of achievement, the payment deadlines, and the risks associated with different scenarios.
For call and put options, the valuation considers the exercise conditions, terms, volatility, characteristics of the underlying asset, and other relevant variables. In the measurement of intangible assets, we analyze elements such as trademarks, technologies, contracts, licenses, and customer relationships, when identifiable and applicable to the transaction. CPC 15 stipulates that identifiable intangible assets should be recognized separately from goodwill in a business combination.
This approach transforms complex structures into clear, consistent, and traceable technical conclusions, providing a more robust foundation for financial statements, audits, management reporting, and strategic decisions.
The result is greater transparency regarding the composition and economic value of transactions, increased reliability in the assumptions adopted, and full compliance with applicable accounting requirements. The ability to assess assets, liabilities, and financial instruments of varying levels of complexity strengthens the quality of information, enhances the reliability of analyses, and supports more precise decision-making.