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KPMG Redefines Excellence in the Age of AI By Using AI to Pump Out Dubious Citations in This Now-Removed Report

GPTZero, the folks who brought you this glorious takedown of an EY Canada report stuffed with completely made up sources, are back at it again and this time they've caught…

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FRC To Determine Whether Missing a £30 Million Overstatement Was, In Fact, Bad Auditing

The Financial Reporting Council announced today that they're officially investigating PwC UK's 2024 audit of WH Smith which means fines and hand-slaps are likely forthcoming once that gets wrapped up.…

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Compensation Watch ’26: Deloitte Salary Numbers Are Out and Some People Are Salty

Compensation threads were once a yearly tradition here at Going Concern many, many, many years ago but at some point Reddit took over the task so we've swung over there…

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The Department of War Broke Up with KPMG, KPMG Gives Up Federal Audits Altogether (UPDATED)

This post was originally published on April 29, 2026 and updated on June 3, 2026. Update below the original article text. The other day -- and by the other day…

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KPMGers Are Maliciously Complying With The Firm’s AI Usage Requirements By Generating Fluff

On May 4, Business Insider published an article about KPMG's new AI dashboard. They've been publishing several articles in recent weeks about KPMG's AI initiatives actually, like the tax simulation…

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The IRS Moves Atlanta Employees to an Office That Makes the Rat-Infested Office Look Pretty Good

If you've been keeping up with the news cycle (or if you caught last Monday's Monday Morning News Brief), you've heard about the situation down in Atlanta involving IRS workers…

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Monday Morning Accounting News Brief: Oh Rats! The IRS Is Infested; PwC Partners Will Divorce If It Spares Their Cash | 6.15.26

Good morning, capital markets servants. Everyone have a good weekend? Good. Got some news for you. In this news briefThe IRS Phone Bank Pays HOW Much!?Getting Divorced Over an Audit…

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Rumor Has It RSM Asked Some Partners to Dip Out

By "rumor" we mean actual rumors flying and making their way to your friendly neighborhood accounting tabloid. Seeing as we've now received this tip from multiple tipsters it feels like…

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Friday Footnotes: Great, KPMG Got the Whole Big 4 in Trouble; Pentagon Brings in Agentic AI to Address Their Audit Problems | 6.12.26

Footnotes is a collection of stories from around the accounting profession curated by actual humans and published every Friday at 5pm Eastern. While you're here, subscribe to our newsletter to…

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Crowe Told Its People Private Equity Might Be Coming So They Didn’t Have to Find Out Through a WSJ Article (UPDATE)

Ed. note: This article was originally published on October 9, 2025. It was updated on June 12, 2026 after WSJ published an exclusive article announcing a private equity deal. Update…

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Technology

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KPMG Redefines Excellence in the Age of AI By Using AI to Pump Out Dubious Citations in This Now-Removed Report

GPTZero, the folks who brought you this glorious takedown of an EY Canada report stuffed with completely made up sources, are back at it again and this time they've caught…

Read More
woman and cat with laptop

KPMGers Are Maliciously Complying With The Firm’s AI Usage Requirements By Generating Fluff

On May 4, Business Insider published an article about KPMG's new AI dashboard. They've been publishing several articles in recent weeks about KPMG's AI initiatives actually, like the tax simulation…

Read More
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Starbucks Kills Off Its Automated Counting AI Tool After Just 9 Months Because It Sucked at Counting Beans

While people outside of the accounting profession continue to smugly insist that accountants will be out of work in 12 months 18 months two years five years any day now…

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EY Gets Busted and Yeets Report Littered With AI Hallucinations

Yesterday we received a news release from a communications firm working for a group called GPTZero. Now you should know that we receive probably a hundred or more news releases…

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KPMG Plans to Hand Routine Testing Off to AI

Did you happen to see this WSJ article from the other day? In "In This Critical Part of Audits, the Accountant’s Role Is Shrinking Fast," we're given a look into…

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Practice Management

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Top Remote Tax and Accounting Candidates of the Week | October 16, 2025

Struggling to Find Remote Accounting or Tax Talent? We’ve Got You Covered.If your firm or internal team is having a tough time sourcing qualified remote tax and accounting professionals, you're…

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Top Remote Tax and Accounting Candidates of the Week | October 2, 2025

Struggling to Find Remote Accounting or Tax Talent? We’ve Got You Covered.If your firm or internal team is having a tough time sourcing qualified remote tax and accounting professionals, you're…

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Top Remote Tax and Accounting Candidates of the Week | September 25, 2025

Struggling to Find Remote Accounting or Tax Talent? We’ve Got You Covered.If your firm or internal team is having a tough time sourcing qualified remote tax and accounting professionals, you're…

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Top Remote Tax and Accounting Candidates of the Week | September 18, 2025

Struggling to Find Remote Accounting or Tax Talent? We’ve Got You Covered.If your firm or internal team is having a tough time sourcing qualified remote tax and accounting professionals, you're…

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Top Remote Tax and Accounting Candidates of the Week | September 4, 2025

Struggling to Find Remote Accounting Talent? We’ve Got You Covered. If your firm or internal team is having a tough time sourcing qualified remote tax and accounting professionals, you're not…

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Here Are Tax and Audit Salaries at Top 25, Top 300, and Regional Firms

Recruiting firm Brewer Morris has released its 2025 US CPA salary guide and should you want to read the whole thing you can request it from them here. Perhaps you,…

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Friendly Reminder Not to Work Yourself to Death For This Profession

Saw this on the bird app yesterday and thought its message would be worth passing along what with 20 days remaining until April 15 and nerves as strained as ever…

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Accounting Firm Abruptly Nopes Out of Tax Season Early (UPDATE)

Ed. note: An earlier version of this article's headline stated the sheriff is investigating. The Alexander County Sheriff's Office informed us they are not investigating, only fielding calls from the…

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This Deloitte Office Has Eliminated Trash Cans at Desks to Make Staff Get Up Off Their Asses

Boston Business Journal wrote an article about Deloitte's new office in Boston and for some reason they chose to lead with this: You won’t find trash cans at the desks…

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The IRS Decided to Troll Tax Pros For 10/15

We realize the decision to run maintenance on IRS systems likely isn't made by anyone who understands deadlines but surely someone who does could inform the IT department of these…

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Top Remote Accounting Freelancers: February 3, 2024

Looking to staff up for a season or hire a freelancer for a project? Accountingfly is ready to partner with you! Gain full access to a pool of highly skilled…

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10 Essential Project Management Principles for Accounting Firms

Every accounting firm struggles with project management, with smaller practices that are rapidly expanding taking the brunt of the damage. As your firm adds new clients, takes on more work,…

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6 Ways Email is Secretly Destroying Your Accounting Firm

Email: The word itself sounds innocent, doesn't it? Kind of like "snail mail," but faster, sleeker, and without the slimy trail. But don't be fooled—email is secretly a sinister beast,…

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Don’t Grow Your Accounting Firm Out of Business! Break Up With These Unscalable Practices Now

Business growth is always a high priority for accounting firms, especially small-to-midsize practices. Take care, though, because growth can be a double-edged sword. If your firm expands too quickly or…

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Accenture, Looking for Fresh Ad Campaign, Makes the Right Choice to Launch Review

As CEO of Avidan Strategies, an agency search firm, we constantly conduct reviews for clients who wish to switch ad agencies. The reasons for conducting a search cover the span of the good, the bad, and the ugly. Sometimes clients resort to spurious explanations for a review. Sometimes, the arrival of a new chief marketing officer is enough to precipitate a review, as its ties to the CMO’s predecessor taint the incumbent agency.

Yet, the Accenture agency search, as reported in this story by Advertising Age, is appropriate and well timed. Until the wee hours of last Thanksgiving, when Tiger woods slammed his SUV into a tree, Accenture had a solid ad campaign. Using Tiger as spokesman and symbol of the consultancy dedication to excellence was effective. Although not exactly relevant to Accenture’s offerings, Tiger was magic. He was the ultimate professional, an athlete that not only transcended his sport, but one that transcended all sports. Tiger was a rock star.


To its credit, Accenture reacted fast to the unfolding scandal. Within weeks it dropped Tiger as a spokesman and launched a new campaign, featuring animals in unusual situations to illustrate aspects of its service. For example, a surfing elephant to depict nimbleness. The marketer is trying to downplay speculation that the animal campaign was a “hail Mary” pass, and suggests that it’s agency, Y&R, had pulled it out of a drawer. I doubt it. When you sign up Tiger Woods to be your spokesperson, you don’t need a Plan B. You know that this is the horse that you are going to ride.

That said, Accenture is smart to call a review. The animal campaign was a good stop gap measure, but now it is time to look beyond the horizon and come up with the next big campaign idea that can last 7,8,9 years. Y&R has been Accenture’s agency since Accenture was formed in the mid-90s. While longevity is not necessarily a bad thing, relationships can get stale. So it’s smart of Accenture to cast a wider net. As a matter of fact, more and more companies now conduct mandatory periodic reviews, previously conducted only by governmental agencies, to insure that services provided are best in class.

I hope that the winning idea will not be apologetic. Tiger’s mess has nothing to do with Accenture, and unlike Nike, they acted ethically and wisely by dumping him swiftly. The new agency should focus on Accenture leadership equity, it’s commitment to research and it’s ability to manage complicated systems. As we are coming out of the recession, glitz is being replaced by authenticity. Businessmen, Accenture’s target, are under tremendous pressure in a tough bottom-line environment. The animals campaign is funny and warm, but perhaps too cartoonish for our time. A more straightforward campaign, with Accenture traditional warmth and humanity, is more appropriate.

Avi Dan is President & CEO of Avidan Strategies, a New York based consultancy specialized in advising professional service companies on marketing and business development. Mr. Dan was previously a board member with two leading advertising agencies and managed another.

Lowering the Bar – How the Big 4 Can Raise Morale by Reducing Starting Salaries

Last Friday’s post by Caleb surrounding the Bonus Watch at Deloitte sparked a handful of intuitive comments from GC readers.

In case you didn’t read the post and subsequent commentary, Commenter Anon51 responded to the question “what do readers suggest firms do to retain practitioners” with the following:

1. treat every team member with respect

2. you can’t just force your team to work harder year after year with fewer people and a smaller budget

3. pay 4-7 year people more, pay new hires less, so it seems there is an incentive to working harder

4. reward your people with an extra day off without having to utilize vacation time, especially after a really busy month/audit

Point 3 is bolded because it resulted in the following comment from Guest:

“That’s a really good idea, and I’m not being sarcastic. There is no reason why new hires fresh out of college need to make $59k ($55k + $4k sign-on bonus), when they would happily work for $50k. Then, a $5k bump every year would be a reward, with maybe a higher bump during promotion years…Pay disparity is a bigger issue than actual pay.”

Well said, Guest and Anon51.

I’ve said it before and I’ll say it again – the Big 4 are constantly in cahoots with one another with regards to hiring benchmarks. So I propose that TBig4PTB get together and reassess their starting salaries. Behold, a template for all Big Wigs to follow:

1. Decrease starting total packages (salary + sign on) by seven percent. Lower the bar from the get-go.

2. Now is the time – blame the decrease on “a firm wide strategic response to the economic risks of being a major player in the professional services industry. Unofficial response – did you see the DOW sink like the Titanic the other day?!”

3. Spread gap created by initial decrease in salary over the next two years. This will create an artificial sense of accomplishment and praise.

4. Send internal emails stressing the “increase in raises for well deserving employees.” Everyone cheers.

5. In three years college graduates will not know the difference; this “decrease” becomes a non-issue.

Guest’s comment that “pay disparity is a bigger issue than actual pay” can become a non-issue with very little effort. Is this fair or ethical? Mehhhhh. I personally think it would be a slap in the face to those of you who have busted your humps and sacrificed career and personal opportunities all in the name of KPDeloitterhouseErnstMG. But it certainly wouldn’t be the most desperate attempt made by one of the firms in recent memory.

Raising morale – hardly. What are your thoughts?

Job of the Day: Natixis Global Associates Needs a Fund Administrator

Natixis Global Associates is looking for an experienced tax professional to fill an AVP – Fund Administrator role in its Boston office.

Primary responsibilities include tax matters related to their mutual fund products. The position requires eight years experience with a CPA or advanced degree preferred.


Company: Natixis Global Associates

Title: AVP – Fund Administrator – TAX

Location: Boston, MA

Description: Reporting to the Deputy Treasurer, this individual will be responsible for overseeing, reviewing and completing certain department responsibilities. The focus will be on tax matters related to mutual funds.

Primary Responsibilities: Coordination and review of the department’s and vendor’s work on the following tax related items: Distribution schedule; Year end tax provisions; Fund distribution calculations; Tax related information included in the Financial statements and Form N-Q; Fund tax returns; Shareholder 1099s and related year-end shareholder reporting; Trustee and vendor 1099s; Research on the tax implications of new security types; Research on regulatory requirements and other tax matters; IRS compliance results; Communication between State Street, Tax Auditors, Marketing, Sales, and Product Departments.

Qualifications/Skills: Bachelor’s Degree in Finance or Accounting; An advanced degree or CPA is recommended, but not, required; Minimum of 8 to 10 years experience in the mutual fund industry is required, including direct tax experience and knowledge of fund administration, fund accounting and fund transfer agent functions and responsibilities; Project management experience is a must.

See the entire description over at the GC Career Center and visit the main page for all your job search needs.

KPMG Is Getting Hot Over Some of Your Comments on Summer Blast

We don’t need to remind you that there is a long weekend coming up. In fact, some of you may be bolting later today so you could get a jump on a weekend full of bad decisions.

Sensing your anxiety, KPMG wanted to let you know, that contrary to what some people are saying, there are plenty of Klynveldians who are pleased – nay – ecstatic about the KPMG’s Summer Blast.

It’s been suggested to us that “[The] Radio Station engages in masturbation over Summer Blast” which seems about right. The only other thought we had was of John Veihmeyer printing out the most glowing comments and writhing around in them on a conference table (with the Notre Dame fight song playing in the background).


We received the communiqué and have included some of the comments for your own pleasuring purposes:

“I am a long-time employee of KPMG, over 23 years, and have seen a lot of changes occur over that time. I most appreciate the Employer of Choice initiatives that have transformed this firm and made it truly a great place to work. I think it’s the best campaign ever devised by the firm.”

“I’m so happy to see some of what makes KPMG a great place to work is back! It really made my week – made me feel more confident about the future, made me feel like all the hours and hard work are appreciated, and made me even prouder to say that I work for KPMG.”

“Great news to receive on a Monday morning! Thanks so much for the Summer Blast email; I must admit that it has been quite the buzz since the first teaser email was sent. Good to see colleagues hypothesizing about what it could be. Thanks again for the benefits provided through Summer Blast!”

“KPMG ROCKS!!” [Submitted by Tim Flynn]

“I think this is AWESOME that KPMG cares this much about their employees. While other companies are more into ‘what is best for the company,’ OUR firm is saying ‘what is best for our people.’ That goes a long way with me!” [Easy on the caps, Kanye]

“This is such great news! There has been lots of speculation of what Summer Blast would be. The entire package has exceeded our expectations! What an awesome way to start the summer! The staff really appreciate the acknowledgment of our hard work these past few years! Thank you!” [Speaking on behalf of the staff seems presumptuous]

If you don’t see your thoughts here but would like share, fire away.

Mario Armstrong: Cloud Computing, SaaS, Social Media Are Tools for All Small Businesses to Consider

Earlier this week we got the chance to speak with Mario Armstrong, on-air tech contributor for NPR’s Morning Edition and tech contributor to CNN. We discussed several technology issues, including SaaS and social media, for small businesses to consider to mark National Small Business Week.

There you have it! Cloud solutions, SaaS, social media. They’re all important tools for small business owners. You can spend your weekend boning up.

Doing Penance for John Edwards’ Sins: Provision Could Hit “Skilled” S Corp Owners

Long before John Edwards became known as a well-coiffed skirt-chasing weasel, he was a well-coiffed successful trial lawyer. He was successful enough to afford good tax advice, so he conducted his law practice in an S corporation.

Back in the old days, professional practices were conducted as sole proprietorships or general partnerships, reportable as self-employment income, subject to the 15.3% self-employment tax up to the FICA base (currently $106,800), and to the 2.9% Medicare portion of the tax to infinity.


When state laws allowed professionals to incorporate, attorneys and accountants quickly noticed that income on S corporation K-1s is not subject to self-employment tax. This makes S corporations a popular way to run a professional practice. The professionals take a “reasonable” salary out of the business (subject to employer and employee FICA and Medicare tax) – enough to not raise IRS eyebrows – and take the rest out as S corporation distributions with no employment tax.

John Edwards did well by this. His law practice generated millions dollars of K-1 earnings in excess of his salary, saving him hundreds of thousands of dollars in payroll and self-employment tax.

Now that he has been reduced to a wealthy target of mockery, Congress is ready to crack down on the John Edwards S corporation tax shelter. The annual “extenders” bill has a provision – almost as absurd as Edwards love life – that will hit professional S corporation K-1 income with self-employment tax. The SE tax will apply when the “principal asset” of the S corporation is the “reputation and skill” of three or fewer professionals – defined for this purpose as “services in the fields of health, law, lobbying, engineering, architecture, accounting, actuarial science, performing arts, consulting, athletics, investment advice or management, or brokerage services.”

Congress doesn’t muss its hair worrying about how taxpayers in multi-owner S corporations are supposed to figure out whether its “principal asset” is the “reputation and skill” of three or fewer owners. However it works, this provision is too late to hurt John Edwards — his reputation isn’t much of an asset anymore.

Joe Kristan is a shareholder of Roth & Company, P.C. in Des Moines, Iowa, author of the Tax Update Blog and Going Concern contributor. You can see all of his posts for GC here.

Accounting News Roundup: FASB Takes Another Stab at Mark-to-Market; Property Taxes Are States’ Savior; CFOs Prefer to Get Taxes Right | 05.27.10

Proposed Overhaul of Accounting Standards Contains Mark-to-Market Rule [NYT]
The FASB has rolled out MTM 2.0 and while the usual suspects have already started belly-aching, Bob Herz insisted that “The financial crisis reinforced the need for better accounting in this area.”

The new rule will require loans and loan-related instruments to be valued at their market value immediately, thus accelerating any losses that might occur. Losses will either be booked as a hit to earnings or as a reduction in the value of the asset. The Times quotes Jack T. Ciesielski of Accounting Analyst Observer, who reassures, “It will messier to read, but if you know what you are doing you can figure it out.”


The comment period (which should yield some interesting thoughts) will run through the end of September, after which the FASB will hold roundtables discussing the rule and then make any final changes. Institutions with greater than $1 billion in assets will be required to adopt the rule in 2013 while those with less than $1 billion will have until 2017.

The Property Tax: Unsung Hero [TaxVox]
States have their property tax revenues to thank for their budgets not being in an even bigger mess than they already are, according to TaxVox. “[P]roperty tax revenues have yet to fall both because the levy tends to be backward-looking (it takes a while for assessed values to catch up with reality on both the upside and the downside) and because local governments can raise rates. The strength of the property tax was the main driver of the small positive growth in overall state and local taxes for the fourth quarter of 2009.”

If states are lucky, by the time property tax rates adjust to the reduced home values, sales and income tax revenue may be on their way to recovery. However, it’s unlikely that tax revenues will return to their previous levels which means governments may have to continue (or maybe start?) to – God forbid – cut spending.

“I Didn’t Know What ‘$’ Means” Fails as Tax Defense [TaxProf Blog]
Who let this guy out of the lab? “I am unaware of the meaning of this symbol.”

Yahoo CFO Sees Annual Revenue Growth Of 7%-10% From 2011-2013 [WSJ]
Contrary to what some might believe, Yahoo is still in business and doing quite well, thankyouverymuch. CFO Tim Morse expects things to brighten up with revenue increasing 7-10% from 2011-2013, due mostly to increased advertising business. Yahoo’s partnership with Microsoft and Zynga (they make Farmville) are seen as key to the search engine competing with Google.

Survey finds tax departments more concerned with getting it right than aggressive tax planning [GT Press Release]
Grant Thornton’s latest CFO survey finds that they are more concerned with getting their taxes right than with paying less. Obviously the latter is a goal but considering the regulatory environment (i.e. Democrats are running things), it’s not the priority, despite what those people running for re-election might tell you.

Memo to Rich People: Gird Your Loins for the IRS ‘Wealth Squads’

For those of you keeping score, the ballpark figure of “wealth” is “in the neighborhood of tens of million of dollars,” according to IRS Commish Doug Shulman’s best guess. So if this is you, the time is nigh. You peasants whose net worth falls into the seven figure range probably can rest easy but don’t get too comfortable, you’re still at risk.

And don’t think that this will be a friendly visit between you, your CPA and an IRS representative. No, this will likely be a financial strip search that will be topped off with a latex surgical glove moseying around your nether regions.

This will not be a kick-the-tires type of exam. Instead, think in terms of a major overhaul. Global High Wealth taxpayers and their representatives should expect to confront teams of revenue agents, partnership experts, and international examiners prepared to scrub not only the Forms 1040 and the attached schedules but also any and all related returns. In the background will be specialists in such areas as financial instruments; exempt organizations; retirement plans (whether individually maintained or employer sponsored) and insurance and annuity arrangements.

Granted this is just how Don Rocen, the article’s author (and former deputy chief counsel at the IRS) pictures it but…yeeesh. If you want to come out with your hands up, think they’ll go easy on you?

IRS ‘Wealth Squads’ On The Way [Forbes]

Survey: Stone Age Processes Combined with Unrealistic Deadlines Lead to Accountant Stress During Closing Period

Lots of you in-house accountants have the unenviable task of magically closing your company’s books on a monthly basis come hell or Hurricane Katrina. Unit4 Coda’s recent survey found that this can be a stressful time (shock!) but, despite what you hear from that dick technical accounting manager, it’s not all your fault.

One problem, according to the survey, is that several accountants are still relying on spreadsheets for many of their closing processes. Now we realize that your Excel addiction may not be something you’re interested in kicking to the curb but it really might be for the best.


But your resistance to change isn’t the only problem; you can blame management’s bullshit deadlines too and the fact that they don’t listen to you when you try to tell them (via whispers to yourself in your cubicle) that said deadlines are completely unrealistic:

Contributing factors include being held to unrealistic deadlines, ineffective processes, an over-reliance on spreadsheets and inaccurate reporting. The survey also revealed that among the top contributors to stress was the apparent disconnect between executive management teams and accountants.

Over 66 percent of the survey’s respondents(1) said an average close period takes over five days to complete, but the survey also revealed that more than 55 percent of accountants are expected to complete a close in a maximum of five days.

With tight management deadlines to meet, efficient systems and processes need to be in place in order to ensure accuracy and speed. However, the survey results also revealed that 53 percent of finance departments do more than 20 percent of their close period activity manually via spreadsheets, leaving larger room for error and a requirement to improve automation.

So if this sounds remotely like your work environment you have a couple of options: 1) have a frank discussion with shot callers in your office about investing in some technology from the 21st Century so the deadlines can be met or 2) continue with the current approach until you go postal. Choose wisely.

Inefficient Period Close Processes Are Major Cause of Accountant Stress, UNIT4 CODA Survey Finds [Unit4 Coda via Web CPA]

Why Did Patrick Byrne Sell $3 million in Overstock.com Shares?

So Patrick Byrne (via his 100% wholly owned entity High Plains Investments, LLC) sold 140,000 OSTK shares in the past five days and that has a few people talking/wondering aloud about what the hell is going on.

Barry Ritholtz, who is long OSTK (quantitative drivers) despite, “I…think it is a steaming pile of shit, that the CEO is an asshole, and that the entire company is probably corrupt,” is really curious:

Is Byrne in possession of material insider information? Would he be so stupid as to sell the shares? (I doubt anyone could be that dumb).

Perhaps he sees a favorable outcome to the SEC investigation? Maybe he is raising money to pay a fine?

These are all excellent jumping off points (although we disagree with the notion “I doubt anyone could be that dumb”) but let’s explore other possibilities:

A) Segways for the KPMG audit team.

B) Reverse Psychology – he’s done fighting the short selling crowd (or is he?)

C) He’s going to apologize to Sam Antar monetarily (how generous he will be, is another matter entirely).

D) He needs some cash for a Father’s Day gift.

E) Needs to feed the Farmville addiciton.

These are merely some ideas. And there’s always the possibility that PB has gone right out of his mind. Share your own, should you feel inclined.

Long OSTK, Short Byrne [The Big Picture]
Proxy Statement/Schedule 14A [SEC.gov]
Patrick Byrne Pockets $3.1 Million from Dumping Overstock.com Shares [White Collar Fraud]
Patrick Byrne Dumps His Overstocked Overstock Shares [Gary Weiss]