Re:Wirecard files for insolvency after financial hole laid bare
by Havoc on Thursday June 25, 2020 @07:24PM
(#23646926)
If you audit basically the entire global economy every year and you're going up against people willing to forge & collude something is going to slip through each year. Sure you may catch 99% of the cases. But that one that does make it through has people asking stuff like:
>For how many companies EY did the same? How superficially do they check their customers?
Public perception of audits is basically a giant example of survivorship bias. All the stuff that auditor do catch generally gets fixed without it making the news. Cause you know confidentiality.
It's not a widget factory where six sigma is possible. It's a messy imperfect process, because well the global economy & most businesses are. 100% is about is plausible as demanding that all programmers globally write bug free code. It's just not happening.
That said...2 billion is like 1/3rd of the company assets. That's one hell of an oversight even in light of the above.
>For how many companies EY did the same? How superficially do they check their customers?
Public perception of audits is basically a giant example of survivorship bias. All the stuff that auditor do catch generally gets fixed without it making the news. Cause you know confidentiality.
It's not a widget factory where six sigma is possible. It's a messy imperfect process, because well the global economy & most businesses are. 100% is about is plausible as demanding that all programmers globally write bug free code. It's just not happening.
That said...2 billion is like 1/3rd of the company assets. That's one hell of an oversight even in light of the above.