Auditing 'It's a Wonderful Life'

Business news site Quartz provides a little holiday levity with an audit of the Bailey Bros. Building & Loan Association from the Christmas classic "It's a Wonderful Life." Let's just say the company's internal controls didn't inspire much confidence from the auditors from PotterHouseErnstCooper LLP. (That would be, what, the Big One?)

It wasn't just an $8,000 discrepancy on the books that led to the auditors' concerns. Vice President William "Uncle Billy" Bailey drew this scathing description:

Let us be blunt. “Uncle Billy,” as Mr. Bailey is known, exhibits clear symptoms of early stage dementia. And while we are sympathetic, his involvement in key operational activities amounts to a threat to survival of this institution.

Here's hoping the VSCPA's members working in audit don't have to deliver this kind of bad news to their clients.