In fact, what PWC is doing is to say that these other stakeholders do matter. They are not delaying their accounts because they could not estimate their provisions right now. Very obviously, they could. What they are instead saying is that in many ways these estimates of bonus and profit payouts are more important than the profit figure itself, because they will impact real lives. In other words, although they are not saying it, and the press report does not state the fact, what PWC is doing is to say that stakeholders matter, and it is taking time to get stakeholder reporting right. That, it is saying, is enough to justify a delay.

I welcome this delay then. It is a small step in the right direction in accounting, to a world where stakeholders matter.

People who get profits aren’t stakeholders, they’re capitalists.

Fool.

8 thoughts on “Lordy Be”

  1. He doesn’t get it. He cannot get it. His brain is not sufficiently active for him to be able to get it. Shareholders and creditors of a company need accounts so that they can make decisions. Even 2-3 months is really too long for that. A lot of the reporting bullshit could be streamlined to help the process – modern slavery statement, pages of remuneration details, risk register etc – but that won’t happen. Partners in an accounting firm need a finer level of precision, to keep their tax affairs straight as much as anything. Outside stakeholders are fewer. The delay does not matter to outsiders.

    Does that help, you thick ignorant person in a hovel in Ely?

  2. Dennis, CPA to the Gods

    What they are instead saying is that in many ways these estimates of bonus and profit payouts are more important than the profit figure itself, because they will impact real lives.

    I kinda hate to break it to Spud, but estimates of bonus and profit payouts are based on the profit figure itself, so said profit figure remains more important… Because all else flows from that number.

    In other words, although they are not saying it, and the press report does not state the fact, what PWC is doing is to say that stakeholders matter, and it is taking time to get stakeholder reporting right.

    I love this sentence… “What PWC said may not sound like what I’ve said, or use the same words, but it really is what they said.”

    I also love the idea that Spud really believes that last year PWC didn’t give a flying handshake about bonus and profit payouts to partners and employees. As if that used to be a minor detail…

  3. Dennis, Author of the Tay Bridge Tax Return

    It didn’t occur to Our Thicky, but what PWC’s delay seems to suggest that they have some collectibility issues, contract delay issues and contract cancellation issues. The last thing PWC would want to do is use a bunch of cash for bonuses and payouts in September and then have to come back to the partners in January and ask for a cash infusion.

  4. Dennis, given that a lot of PWC’s clients have taken advantage of loosened deadlines to file their accounts later than normal – after all it’s hard to discuss “going concern” when your company has basically shut down and furloughed most employees – it’s not too hard, unless you are less mentally agile than a rotted Potato, to assume that cash-flow in the auditing firm is likely to be less incoming than usual.

    Why can’t someone section the bloated scrofulous fool?

  5. Yep, reckon that someone has thrown up that they need to think about if the risk profile has significantly changed regarding some of their provisions (collectibility being one), not surprisingly big economic change lead to lots of changes in assumptions and provisions. If nothing else they will be having a good look at V-shaped Vs U-shaped recovery

  6. Bloke in North Dorset

    Of course having been a senior partner in a very large partnership he knows exactly what they’re thinking … oh wait, he hasn’t so now we can add mind reading and clairvoyance to his skill set.

  7. This is purely about the staff bonus accrual nothing else. If trading hasn’t picked up since June then staff bonuses will be cut this impacting the financial results. Our cash at bank position is v strong

    I’m a pwc partner

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