The Best Collections of Warren Buffett & Charlie Munger - Accounting

Best collections of Warren Buffett & Charlie Munger Q&A/Speeches during Berkshire Hathaway Annual Meeting over the years. Enjoy. How to learn accounting 00:00:00 Learning accounting by absorbing real life examples (1999) 00:04:49 Buffett didn’t learn accounting from books (2003) 00:07:33 Accounting is a starting point, but it doesn’t always reflect reality (2002) Generally Bad Accounting Practices 00:09:13 When a company’s accounting is confusing, stay away (1995) 00:12:20 Deceptive accounting at many companies (1999) 00:16:50 Frauds, crooks, and accounting (2013) 00:26:15 Accounting “shenanigans” and “gamesmanship” (2001) 00:32:23 Arthur Andersen as Enron’s collateral damage (2002) 00:36:50 Creative accounting is an absolute curse (2002) 00:38:46 Coca-cola and its bottlers are not using creative accounting (2002) 00:41:24 Operating problems cannot be solved by accounting maneuvers (2003) 00:43:47 Putting business value into income account could be quite deceptive (2018) Income/Expenses 00:49:07 Detecting fraud and the evils of EBITDA (2002) 00:54:31 Munger on recognizing “bullshit earnings” (2003) 01:00:26 Teaching the delusion of EBITDA is horror squared (2017) 01:03:48 Good companies do not need to inflating earnings (2016) 01:06:05 Inventory writeoff (2001) 01:07:06 Excess tax benefits from share-based compensation is not material (2017) 01:10:18 A really stupid accounting rule change (2017) 01:13:40 Accounting-rule net loss not representative of the business (2018) 01:16:50 Berkshire's earnings distorted by new accounting rule (2019) 01:20:05 Pension fund expectation distorting accounting numbers (2001) 01:25:49 Real lollapallooza is the pension fund accounting (2003) Stock Options 01:26:35 Stock options are real expenses 01:29:05 Stock option accounting rule failed (1995) 01:34:31 Stock options and inflated earnings (1998) 01:36:45 Corporations hooked on corrupt stock option accounting (1999) 01:43:36 Powerful forces don’t want to expense stock options (2001) 01:49:34 Expensing stock options is not double-counting (2002) 01:56:06 The Final Four finally (suddenly) recognized options as expense (2003) 01:57:51 Options rule shows Congress shouldn’t make (immoral) accounting rules (2004) Derivatives 02:03:13 Must look very carefully at derivatives accounting (1999) 02:05:52 Quality of accounting in America for derivative transactions is still terrible (2003) 02:08:13 Bad accounting contributes to creation of financial weapons (2005) 02:12:19 On accounting of derivatives lead to risks (2007) Equity/Reserves 02:16:54 Nothing magic about a positive shareholders’ equity (1995) 02:20:39 On Discounting reserves (2005) 02:22:51 On LIFO adjustment (2006) 02:25:03 How to look at deferred taxes (2015) Goodwill 02:28:20 How should you look at goodwill when evaluating a business (2011) 02:33:28 What is the appropriate method for goodwill accounting (1999) 02:38:39 New goodwill accounting is making sense (2002) 02:40:18 Goodwill impairment charge not needed for Gen Re (2003) Merger-Acqusition 02:42:53 Economics of a transaction more important than accounting treatment (1994) 02:46:12 Accounting treatment plays no part in determining attractiveness of a deal (1995) 02:47:27 Walt Disney-Capital Cities accounting (1998) 02:51:37 Equity method to report Kraft Heinz earnings (2019)