• Groupon Reveals Accounting Error
    Social buying juggernaut Groupon stumbled again last week with Friday's downward revision of its fourth-quarter revenue from $506.5 million to $492.2 million. While this is a relatively modest decrease of 2.8%, Groupon also revealed that its fourth-quarter loss was $22.6 million more than previously stated. Both errors were due to what auditor Ernst & Young described as a "material weakness in its internal controls," which somehow failed to factor in more refunds to customers, suggesting that the company's current accounting methods aren't able to keep up with its innovative business model.
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