Academe Meets Practice, funded by donors of the Corporate Accounting Policy Seminar (CAPS) and presented by Financial Executives Research Foundation (FERF) and the Stan Ross Department of Accountancy at Baruch College, was intended to foster interaction between corporate executives and business school professors, convey a better understanding and finer appreciation of real world challenges faced by financial executives and enable academics to design better business school programs and produce better educated graduates.

Roundtable on Fair Value (2.5 CPE Credits)

This roundtable discussion included regulators, standard-setters, academics, practitioners, auditors, and users. Selected participants spoke on a particular aspect of fair value. All roundtable participants responded to the issues presented. Regulators and standard-setters discussed the overall progress of fair value initiatives and projects. Practitioners addressed the feasibility of practical implementation of fair value accounting. Auditors discussed the auditability of fair value information, while users addressed utility. Academics presented ideas for research that may help identify potential solutions.

Fair Value Roundtable Materials

1. Fair Value Roundtable Slides
2. Fair Value Research Questions
3. Fair Value Accounting: A Status Report by FERF
   

4. FEI Summary - FASB Issues FAS 157: Fair Value Measurement

5. FEI Summary - FASB Proposed FSP: Fair Value of Business Combinations, Impairment
6. Statement of Financial Accounting Standards No. 157 - Fair Value Measurements
7. Exposure Draft: The Fair Value Option for Financial Assets and Financial Liabilities
8. Exposure Draft: Business Combinations
9. Invitation to Comment: Selected Issues Relating to Assets and Liabilities with Uncertainties

Welcome and Introductions

10:00 to 10:20

MASAKO DARROUGH, Chair, Stan Ross Dept. of Accountancy, Baruch College

Roundtable Discussion: Fair Value

10:20 to 12:00

Confirmed Participants:

MODERATOR: NORMAN STRAUSS, Baruch College

1. ELI BARTOV, New York University
2. DON CHARLES, Ernst & Young
3. ALLAN COHEN, Time Warner
4. COLLEEN CUNNINGHAM, Financial Executives International
5. PAQUITA DAVIS-FRIDAY, Baruch College
6. CRAIG EMRICK, Moody's Investors Service
7. CHERYL GRAZIANO Financial Executives Research Foundation, Inc.
8. BJORN JORGENSEN, Columbia University
9. ALFRED M. KING, Marshall & Stevens
10. STEVEN LILIEN, Baruch College
11. JEFF WILKS, Financial Accounting Standards Board
12. ZOE-VONNA PALMROSE, Securities Exchange Commission
13. EDWARD RIEDL, Harvard University

14. KATHRYN RYAN, JPMorganChase

15. MARY KAY SCUCCI, Bear Stearns Asset Management
16. LOU THOMPSON, Kalorama Partners and Genesis, Inc.

Question and Answer Session

12:00 to 12:30

Keynote (.5 CPE Credits)

12:30 to 1:00

Keynote Address by Philip Ameen, Vice President and Comptroller, General Electric Company

Encouraging Academic Research with Practical Application by Philip Ameen, Vice President and Comptroller, General Electric Company

1:00 to 1:30

Sarbanes-Oxley Compliance: Costs & Benefits (2 CPE Credits)

The afternoon roundtable was a “response” to last year’s panel during which financial executives, academics and regulators discussed the impact of Section 404 of the Sarbanes-Oxley Act of 2002. Baruch faculty discussed their research on the costs and benefits of the legislation with policy implications. Members and others on the panel then discussed how the research can be practically applied.

Sarbanes-Oxley Roundtable Materials:

1. Sarbanes-Oxley Section 404 Compliance - From Project to Sustainability by Bill Sinnett and Robert Howell
2. Timeliness and Mandated Disclosures on Internal Controls under Section 404 by Aloke Ghosh et al
3. The Effects of Internal Control Deficiencies on Firm Risk and Cost of Equity Capital by Dan Collins et al
4. The Effects of Internal Control Deficiencies and their Remediation on Accrual Quality by Dan Collins et al
5. Determinants of Weaknesses in Internal Control Over Financial Reporting by Sarah McVey et al
6. Accruals Quality and Internal Control over Financial Reporting by Sarah McVey et al
7. The Second Year of Section 404 Reporting on Internal Control

Roundtable Discussion: Sarbanes-Oxley

1:30 to 3:00

Confirmed Participants:

MODERATOR: DOUGLAS CARMICHAEL, Baruch College

1. ALOKE GHOSH, Baruch College
2. CHERYL GRAZIANO Financial Executives Research Foundation, Inc.
3. GREG JONAS, Moody’s Investors Service
4. WILLIAM KINNEY, University of Texas-Austin
5. MARTIEN LUBBERINK, University of Lancaster
6. SARAH MCVAY, New York University
7. ZOE-VONNA PALMROSE, Securities Exchange Commission
8. LAURA PHILLIPS, Public Company Accounting Oversight Board
9. KRISTANNE POND, E. I. du Pont de Nemours & Company
10. LOU THOMPSON, Kalorama Partners and Genesis, Inc.

Question and Answer Session

3:00 to 3:30

An article summarizing the roundtable discussions, as well as any potential solutions that may have been identified during the roundtable, were published by FERF after the event and distributed to FEI members, through the Bloomberg Professional Service and to others as identified by Baruch.