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Benford's Law and the Impact of Director Blockholders

2025
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This presentation was given by a faculty member on Benford's Law and it's effects on management."Benford's Law is a mathematical law which relates to the leading digits of numbers in naturally occurring tables. The probability of the first digit equaling some number d is roughly equal to = 10 (1 + 1 )The probability of the second digit equaling some number d is roughly equal to = σ =1 9 10 (1 + 1 10 + )Durtschi, Hillison, and Pacini (2004) – Analysis using Benford’s Law is primarily useful on sets composed of mathematical combinations of numbers." (Slide 3)

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