I am a financial accountant in a fairly large company. When external auditors look at the figures, they add up everything that they find. It doesn’t matter if the error is increasing or decreasing the profit-figure, they calculate the total of the errors.
The 400k is a lie. It was over a million. The 400k figure was if they had applied for a tax break they didn’t apply for and had been granted it.
If you are correcting figures one way, you have to correct them both ways. That is how financial auditors always work.
I’m really sorry, please forgive my ignorance, but I don’t know what you mean.
I am a financial accountant in a fairly large company. When external auditors look at the figures, they add up everything that they find. It doesn’t matter if the error is increasing or decreasing the profit-figure, they calculate the total of the errors.
Ah, okay, that makes sense I guess. Seems weird from a lay point of view, but if that’s the industry standard.
Thanks for explaining.