Charlie Munger Engineering Quotations

Proper accounting is like engineering. You need a margin of safety. Thank God we don't design bridges and airplanes the way we do accounting.

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.

Anyone with an engineering frame of mind will look at [accounting standards] and want to throw up.