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the story that the fiduciary accounting tells begins with assets on hand at the beginning and one of the most common mistakes is for fiduciaries to account for assets for which they don't actually bear any responsibility for example a conservator might account for assets that are held in trust and administered by somebody else another very common mistake that we see at the beginning of a fiduciary accounting is the person preparing the accounting confuses the notion of responsibility with the notion of value so the fiduciary assumes responsibility for a house with a very large mortgage and the accountant feels compelled to state the existence of the mortgage somewhere on that beginning asset schedule and so you find the house described the fair market value of the house identified and then the mortgage is stated as a negative number in a fiduciary accounting is almost always a mistake to use a negative number there are lots of mistakes that arise from the accountants confusing the stor


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