It was revealed that Fisker, the electric car company, kept accounts like a supermarket: it couldn’t even figure out which customers paid how much!

Electric car initiative visker, recently encountered an unprecedented problem while delivering their new models. Company, in accounting processes For a while, the laxity made it completely confusing as to who paid how much. It took months for the situation that arose in December to be resolved.

In the company’s own internal audit, the accounting department did not maintain accurate payment records popped up. For this reason, it took a long time to determine who paid how much. Fortunately, after months of work, most payments were completed.

Revealed in internal audit

Because the checks provided by some customers for payment could not be cashed on time validity period has expired popped up. It later turned out that some people’s advances had been recorded incorrectly or incompletely. This data has also been corrected. On the other hand, some customers received vehicles due to these defects even though they had not made payments.

After internal audit, it is one of the big four of external audits. PwC, Fisker requested more documentation on this matter. The documents Fisker had previously submitted were not sufficient. It was indicated that not all documents collected were sent and not all documents sent were sent to the correct location.

It is very important for businesses to keep accurate books, especially for publicly traded companies. Let’s see how this error will affect Fisker.