PwC's accounting podcast

We continue our lease accounting podcast miniseries with an episode focused on embedded leases. Some arrangements to provide services or purchase inventory rely on the use of a specific asset to fulfill the contract. Even if the word “lease” doesn’t appear, the rights conveyed to the customer may still meet the definition of a lease—shifting the transaction from simply purchasing services or goods to leasing an asset. We explain why identifying an embedded lease is critical and how it can significantly impact the accounting and financial reporting for both customers and suppliers.In this episode, we discuss:1:40 – An overview of embedded leases and common arrangements6:50 – Determining whether an arrangement contains a lease24:07 – Allocating contract consideration to lease and nonlease components34:19 – Available practical expedients39:01 – Accounting and reporting implicationsFor more information, see chapter 2 of our Leases guide and chapter 4 and 5 of our Revenue from contracts with customers guide. You can also listen to the other episodes in this series:Lease accounting reset - Presentation and disclosureLease accounting reset - Modifications and terminationsLease accounting reset – Variable rentsBe sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to for the latest thought leadership.About our guestsMarc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.About our guest hostGuest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.comDid you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Join Marc Jerusalem, a leasing expert at PwC, and Suzanne Stephani, a director specializing in cash flows and leasing guidance, as they dissect the nuances of variable lease payments. They delve into the differences between fixed and variable payments, touching on how usage-based and index-based payments influence lease classification. The duo also explores tenant improvement allowances, the impact of CPI on leases, and the complexities of lease remeasurement, offering valuable insights for navigating accounting practices under ASC 842.

Marcin Olewinski, a seasoned PwC Assurance practice partner with over 20 years in the energy sector, sheds light on the proposed amendments to IFRS S2 by the ISSB. He discusses the complexities of greenhouse gas disclosures, particularly the clarifications around scope 3 emissions. The conversation touches on the role of the Transition Implementation Group and the challenges in standardizing measurement methodologies. Marcin also emphasizes the importance of flexibility in reporting standards and the need for businesses to adapt to these upcoming changes.

We continue our lease accounting miniseries with an episode focused on modifications and terminations. From determining whether a change results in a new lease to navigating remeasurement requirements, we share practical insights and key reminders for applying the guidance.In this episode, we discuss:1:12 – How to determine if a lease modification should be treated as a new lease or a remeasurement of the existing lease10:31 – Key accounting steps in a lease modification and remeasurement17:49 – Differentiating a lease termination from a modification20:59 – Example of a lease modification for downsizing leased space24:07 – Modifications to combined versus separate lease contractsFor more information, see chapter 5 of our Leases guide. You can also listen to the first episode in this series, Lease accounting reset - Presentation and disclosure. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to for the latest thought leadership.About our guestsMarc Jerusalem is a managing director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.comDid you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Diana Stoltzfus, a regulatory expert and partner at PwC, shares insights on the evolving EU Omnibus package and its implications for sustainability regulations. The conversation highlights recent developments in the legislative process, including feedback from businesses and leaked information on proposed changes. Key topics include the potential impacts of the European Sustainability Reporting Standards and discussions surrounding disclosure simplification. Stoltzfus also addresses challenges faced by smaller firms and the importance of double materiality assessments for long-term sustainability.

We kick off our latest accounting miniseries on lease accounting with an episode on the related presentation and disclosure requirements. We break down key considerations across the balance sheet, income statement, and statement of cash flows, including what interim and annual disclosures are required as well as the treatment of lease incentives, sublease income, and more.In this episode, we discuss:2:12 – Current versus noncurrent lease liabilities5:37 – Presentation of lease incentives11:40 – Income statement presentation of lease expense16:29 – Classification of lease payments in the statement of cash flows26:25 – Annual and interim lease disclosure requirementsFor more information, check out our Leases guide and the leasing chapter of the Financial statement presentation guide.Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop. About our guestsMarc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.comDid you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Join Adam Kennedy, a consumer markets finance expert at PwC, and Edward Ponagai, a partner specializing in back office transformations, as they discuss the evolving landscape of finance amid AI advancements. They explore the concept of 'terminal value' and how finance functions are shifting from mere cost-cutting to creating value. Discover the transformative potential of agentic AI in finance workflows, the need for reskilling professionals, and strategic priorities CFOs must embrace for successful digital transformation.

A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.comWe continue our video podcast miniseries focused on SEC reporting, helping you stay current on the evolving SEC landscape while taking a “back to basics” look at key reporting areas.As the SEC undergoes significant leadership changes, this episode offers a timely look at how recent developments are reshaping regulatory priorities. We offer insights into what these changes mean for companies and what they may expect going forward.In this episode, we discuss: 1:08 – The SEC’s leadership transition 6:35 – Interpretive guidance activity and compliance updates 14:53 – Crypto-related policy shifts 18:40 – Chair Atkins’ rulemaking priorities and enforcement strategy 26:28 – Executive compensation roundtable and potential disclosure reforms 32:19 – Legal challenges and the uncertain path ahead for the SEC’s climate rule 36:46 – Anticipated focus areas, including capital formation 40:09 – Practical advice for companies engaging with the SEC under its new leadership In case you missed it – check out the other episodes in this video podcast miniseries:Inside SEC reporting: Capital formationInside SEC reporting: Acquisitions and divestituresInside SEC reporting: Pro forma financial informationInside SEC reporting: Form 8-K (current report)Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.Our guests:Elad Roisman, partner in the Corporate Governance and Board Advisory Practice and the Financial Institutions Group (FIG) Practice at Cravath, Swaine & Moore LLP.Lindsay McCord, a PwC National Office partner specializing in matters related to the SEC and the capital markets.Our guest host:Kyle Moffatt, PwC’s Professional Practice leader.Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.comDid you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Casey Herman, a PwC Sustainability partner with over 35 years of experience in energy consulting, dives into the pressing issues surrounding the energy transition. He discusses the rising demand for electricity and the vulnerabilities of the aging grid. The conversation highlights innovative technologies such as AI, small nuclear reactors, and hydrogen, as well as the critical role of cybersecurity in energy infrastructure. Herman emphasizes the need for diverse energy solutions and the importance of supportive policies to navigate the evolving landscape.

A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.comWe continue our video podcast miniseries focused on SEC reporting, helping you stay current on the evolving SEC landscape while taking a “back to basics” look at key reporting areas.In today’s episode, we discuss Form 8-K, a critical SEC filing for timely disclosure of significant corporate events. While foundational in nature, Form 8-K reporting involves a range of complex triggers and tight deadlines. We explore the fundamentals and hot topics shaping today’s Form 8-K reporting environment—including cybersecurity disclosure requirements, materiality assessments, and frequent challenges.In this episode, we discuss:0:57 – Overview of Form 8-K reporting requirements4:13 – Cybersecurity incident triggers and reporting requirements7:58 – Key reminders and insights into frequent questions and common pitfalls, including:15:05 –Acquisitions, dispositions, restructurings, and impairments 21:40 – Corporate governance-related activities22:55 – Change in auditor25:21 – Material contracts27:04 – Change in segmentsIn case you missed it – check out the other episodes in this video podcast miniseries:Inside SEC reporting: Capital formationInside SEC reporting: Acquisitions and divestituresInside SEC reporting: Pro forma financial informationBe sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.About our guestsRaquel Fox is co-head of Skadden's SEC Reporting and Compliance practice and the head of the firm's U.S. ESG practice. She concentrates her practice in the areas of capital markets, M&A, corporate governance, and general corporate and securities matters, advising clients on the full range of SEC reporting and compliance requirements.Kevin Vaughn is a PwC National Office partner specializing in SEC reporting matters. He leverages his extensive experience to support PwC public company and pre-IPO clients on accounting and SEC reporting matters. Prior to joining PwC in 2023, he spent over 18 years at the SEC, most recently serving on the leadership team in the SEC’s Office of the Chief Accountant where he focused on technical accounting consultations, SEC rulemakings, and standard setting matters.About our guest hostKyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, he spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.Transcripts available upon request for individuals who may need a disability-related accommodation.Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.