Determination of Value -- Contents -- Preface -- Acknowledgments -- CHAPTER ONE The Problem -- IN SEARCH OF A TRUTH -- THE ASSURANCE EXPERT -- CREDIBILITY IS NOT SYNONYMOUS WITH TRUTH -- WHERE DO WE GO FROM HERE? -- CHAPTER TWO The Solution -- TOWARD A DEFINITION OF CREDIBILITY -- THE ATTRIBUTES THAT MAKE YOU CREDIBLE -- OPERATIONAL CREDIBILITY ATTRIBUTES -- Replication -- Relevance -- Reliability -- Reasonableness -- Generally Accepted Methods and Procedures (General Acceptability) -- Transparency -- Adequate Disclosures -- Nonadvocacy -- Completeness -- PERSONAL CREDIBILITY ATTRIBUTES -- GENERAL OBSERVATIONS ABOUT "CREDIBILITY" -- Credibility Is a Threshold -- Credibility Does Not Exist in a Vacuum -- Credibility Requires Consensus -- Credibility Is the Result of Process -- Credibility Is Foundational and Dynamic in Nature -- To Be Credible, You Must Be Stakeholder Driven -- To Be Credible, You Should Also Be Thoughtful -- CREDIBILITY IS NOT SYNONYMOUS WITH TRUTH -- DON'T CONFUSE OPINING WITH DECISION MAKING -- BEWARE OF BLACK BOX OPINIONS -- CONCLUSION -- NOTES -- CHAPTER THREE The Credibility Pyramid and the Importance of a Well‐Defined Analytical Process -- THE IMPORTANCE OF PROCESS -- THE VALUATION PROCESS -- Principal Sources of Information -- Income Approach -- Standard and Premise of Value -- THE CREDIBILITY PYRAMID -- THREE PROBLEM‐SOLVING PHASES -- Rule 701, "Opinion Testimony by Lay Witnesses" -- Rule 702,"Testimony by Experts" -- Rule 703, "Bases of an Expert's Opinion Testimony" -- CONCLUSION -- CHAPTER FOUR Pyramids, Not Castles -- WHY IS CREDIBILITY IMPORTANT? -- Credibility Requires Execution -- Credibility Requires Inclusion of Alternative and/or Competing Views -- Credibility Requires Consideration of Economic Realities -- Credibility Requires a Nexus to the Underlying Data -- Credibility Requires Illustration.

REASONABLE ASSURANCE -- GENERALLY ACCEPTED PRACTICES -- A Body of Knowledge -- Avoiding Misunderstandings -- Assessing General Acceptability in the Determination of Value -- GENERALLY ACCEPTED PRACTICES LEAD TOUNIFORMITY AND PROFESSIONAL CONSENSUS -- ANALYTICAL GAPS -- INFORMED JUDGMENT -- CONCLUSION -- NOTES -- CHAPTER FIVE Climbing the Credibility Pyramid -- THE IMPORTANCE OF REVENUE RULING 59-60 -- IDENTIFICATION OF KEY PRE‐ENGAGEMENT PARAMETERS -- PLANNING TO ACQUIRE KNOWLEDGE ABOUTTHE SUBJECT -- GENERAL PLANNING CONSIDERATIONS -- Preparation of an Engagement Agreement -- Identification of Relevant Documents and Information to Be Requested -- Obtaining a Representation Memo -- THE IMPORTANCE OF THE STANDARD OF VALUE AS YOU CLIMB THE PYRAMID -- Fair Market Value -- "Matrimonial" Standard of Value -- Fair Value -- SELF‐ASSESSMENT TOOLS -- STEPPED READING -- CONCLUSION -- NOTES -- CHAPTER SIX How to Develop and Report Your Opinion -- PRACTICE PRESENTING YOUR WRITTEN FINDINGS ORALLY -- VALUATION ADJUSTMENTS -- Conceptual Framework of Valuation Adjustments -- Discount for Lack of Marketability -- DESCRIPTION OF A BENCHMARKING METHODOLOGY USED BY VALUATION ANALYSTS -- Management Planning, Inc., Study -- Johnson/Park Study -- BENCHMARKING: RELATIVE WEIGHTS AND QUALITATIVE ANALYSIS -- Conclusion and Summation of Factors -- Making Sure Your Opinion Is Assessed as Credible -- MAKE SURE THERE ARE NO ANALYTICAL GAPS IN THE DEVELOPMENT AND DERIVATION OF GROWTH RATES -- INCORPORATING PROSPECTIVE INFORMATION THAT IS PRESENTED INTO YOUR OPINED RESULTS -- Forecasted Financial Operations and Assumptions: Multiple Period Discounting Method -- REPORTING YOUR OPINED RESULTS -- CONCLUSION -- NOTES -- CHAPTER SEVEN Reasonableness Tests -- DETERMINING REASONABLENESS -- EXAMPLE 1: DERIVED ESTIMATE OF VALUE -- Application of Industry Rules of Thumb.

The Internal Rate of Return -- Test Conclusion -- EXAMPLE 2: GUIDELINE COMPANY METHOD -- Selection of the "Guideline" Company Group -- Normalized Adjustments to the Guideline Company Financial Information -- Selection of a Market Multiple -- Calculation of Estimated Value: Guideline Company Method-a Market Approach -- Test Conclusion -- EXAMPLE 3: USE OF MARKET MULTIPLES -- Application of Rules of Thumb -- Test Conclusion -- EXAMPLE 4: FEDERAL TAX COMPLIANCE -- Factors to Consider -- CONCLUSION -- NOTES -- CHAPTER EIGHT Enhancing the Integrity of Your Opinion -- UNDERSTANDING THE CREDIBILITY THRESHOLD -- UNDERSTANDING THE SCOPE UNDERTAKEN -- UNDERSTANDING ANALYTICAL RESPONSIBILITIES AND THE IMPACT OF MATTER/CAUSE/EFFECT ANALYSIS -- CONDUCT YOUR ANALYSIS WITHIN THE PARAMETERS OF THE ECONOMIC REALITY RELEVANT TO THE FACTS AND CIRCUMSTANCES -- MAINTAIN A HIGH LEVEL OF PROFESSIONAL SKEPTICISM AND ENGAGEMENT AWARENESS -- REVIEW YOUR ANALYTICAL PROCESS FOR RELEVANCE AND TYPICAL COMMON ERRORS -- BE READY TO RESPOND TO ETHICAL CHALLENGES -- ENHANCING THE INTEGRITY OF YOUR OPINION WHEN AT TRIAL OR IN HEARINGS -- ENHANCING THE INTEGRITY OF YOUR OPINION WHEN AT DEPOSITION -- CONCLUSION -- NOTES -- CHAPTER NINE Reviewing the Work of Others -- REVIEW ENGAGEMENT PROCEDURES TO CONSIDER -- PREPARING A DOCUMENT REQUEST FOR A REVIEW ENGAGEMENT -- THE ROLE TO BE ASSUMED: REVIEWING EXPERTOR REVIEWING CONSULTANT -- LIMITING CONDITIONS AND ASSUMPTIONS -- DETERMINING AN APPROPRIATE SCOPE FOR YOUR REVIEW -- MINIMUM SCOPE CONSIDERATIONS IN A REVIEW ENGAGEMENT -- When Changes in the Scope or Nature of a Review Engagement Become Necessary -- CONCLUSION OF A BUSINESS APPRAISAL REVIEW ENGAGEMENT -- BUSINESS APPRAISAL REVIEW OPINION -- Types of Opinion -- Finding of Concurrence (Suggested Reporting Language) -- Finding of Nonconcurrence (Suggested Reporting Language).

Finding of No Opinion (Suggested Reporting Language) -- Certification -- Departure -- REVIEWER'S INDEPENDENCE -- Your Qualifications to Review the Work of Another -- Obtaining a Representation Letter -- COMMON ERRORS AND ANALYTICAL GAPS FOUND IN VALUATION REPORTS -- CONCLUSION -- NOTE -- CHAPTER TEN The Journey Continues -- DEFINITION OF CREDIBILITY -- ATTRIBUTES ATTACHED TO A CREDIBLE OPINION -- SEPARATING DECISION MAKING FROM OPINING -- A NOTE ON GENERALLY ACCEPTED PRINCIPLES AND PRACTICES -- A DEFINITION OF THE CONCEPT OF INFORMED JUDGMENT -- SUGGESTIONS FOR ASSESSING YOUR OWN METHODOLOGY-THE IMPORTANCE OF REASONABLENESS TESTS -- SUGGESTIONS FOR ENHANCING THE INTEGRITY OF YOUR OPINION -- CONCLUSION -- AAPPENDIX Sample Valuation Service Agreement for a CPA Analyst -- About the Author -- Index.