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— Charlie Munger"In engineering, people have a big margin of safety. But in the financial world, people don't give a damn about safety. They let it balloon and balloon and balloon. It's aided by false accounting."
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Accounting incomes were reduced by discrepancy [ but] "the net amount paid by lawyers for lawyerly discrepancy is close to zippo. In this case, the goddess of justice was blind.
— Charlie Munger
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There are some pretty obvious ways of benchmarking creativity. One way is to perform what I call a creativity audit, which is to look at your capabilities and look at your performance and examine the percentage of revenue that comes from products that are less than five years old, less than three years old and that are current with the present accounting period. You can then compare those figures to those of your competition along the same axes.
— John Kao
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