The Problem with Spreadsheets…

Spreadsheets are a great general business tool but are not designed for real estate project analysis. Spreadsheet errors can cost your company millions.

An article in the May 24, 2004 issue of Computer World stated, "Washington-based Fannie Mae made a $1.2 billion accounting error last year because of what it called "honest mistakes made in a spreadsheet" used in the implementation of a new accounting standard. Toronto-based TransAlta Corp. took a $24 million charge last year after a bidding snafu caused by a cut-and-paste error in an Excel spreadsheet. …recent audits of 54 spreadsheets found that 49 (or 91%) had errors, according to research by Raymond R. Panko, a professor at the University of Hawaii."

(Source: Computerworld)