The SEC’s Not-So-Gentle Reminder: Show Your Work

Business Valuation UpdateVol. 26 No. 8
August 2020
PJ Patel, ASA, CFA
fair value for financial reporting
goodwill, fair value, fair value measurements, impairment testing, securities and exchange commission (SEC), intangible


A recent SEC comment letter to a company about its determination that no impairment of goodwill and intangible assets was needed, the agency sounded much like every math teacher we’ve all very likely encountered: Show your work!