Entity’s time to identify a suitable target is limited. If SPAC is unable to complete a merger within 24 months
Read More
Accounting
SPAC Financial Close
SPAC financial close includes recording relevant entries in entity’s accounting system as well as preparation...
Read More
SPAC Equity Forward Agreements
Some SPACs signed a forward purchase agreement (FPA), an arrangement that obligates SPAC to issue to its sponsor
Read More
SPAC Accounting Issues
If SPAC's management identify an appropriate target, it must then seek a shareholder approval the proposed...
Read More
Accounting for SPAC Transaction Cost
For stock classified as equity, direct and incremental costs related to its issuance should be accounted for as...
Read More
Accounting for SPAC Warrants
As part of the IPO, SPACs issue its founders warrants, i.e., equity-linked instruments that give SPAC’s founders...
Read More
SPAC Process and Lifecycle
SPAC or a special purpose acquisition company is a shell company listed on a stock exchange with the purpose...
Read More
Government Grants: PPP Loans, ERC Program
The Coronavirus Aid, Relief, and Economic Security (CARES) Act provided substantial funds as economic incentives
Read More
Impact of ASU 2020-06 on accounting for convertible debt
The impact of ASU 2020-06 is somewhat intertwined with existing (legacy) accounting for convertible debt...
Read More
Convertible Debt
Key question relating to accounting for convertible debt is how to account for the conversion feature embedded in debt sometimes referred...
Read More