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AccountingBench: Evaluating LLMs on real long-horizon business tasks

accounting.penrose.com

121–130 of 154 posts

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#121

I love the site design. > There's an obvious question looming here — if the models got so confused, how did they consistently pass the reconciliation checks we described above? It may seem like the ability to make forward progress is a good proxy for task understanding and skill, but this isn't necessarily the case. There are ways to hack the validation check – inventing false transactions or pulling in unrelated one…

I have seen so many people doing their accounting with just ChatGPT.

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#122

> In fact, we explicitly prompt against this behavior in no uncertain terms, but the instructions – and the entire spirit of the task – are lost in the interest of making forward progress LLMs and humans are quite alike. :) I notice that a few models will give up instead of ignoring their instructions and that's the model I would want working on tasks like this. An LLM should be able to categorize and reconcile trans…

> but if it's not sure, it should quit Can it be sure or not? I've never been able to get LLMs to give confidence measures that match their actual outputs. I'll ask an LLM "Are you sure?" and it'll reply "Absolutely" when it's output is completely wrong, or it'll backtrack on a correct output with "I should not have provided an answer when I was unsure. Here is an answer I am sure of..." and then provide something co…

    > Claude did you just try to completely remove my large file *BEFORE* checking it into git LFS?
    > You're absolutely right! I should not have attempted an 'rm' comment on unstaged data. I guess I got a little frustrated with git, haha!

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#123
post #106

Earlier quoted context omitted.

Human accountants also have a very important property: liability. If a certified accountant told me to do X, I'm covered (at least to the point they would assist in recovering, or I can get compensation through their insurance). If LLM tells me, I'm in a bigger problem.

Most small businesses cannot afford CPAs for everyday tasks. At best a CPA signs off on the annual summaries. Most day to day work is done by bookkeepers who are not CPAs. In my area (Vermont) the going rate for a good CPA is $200/hr. Bookkeepers are $20-30/hr.

Most small businesses also cant afford the risk of current LLMs putting garbage in their books that, in the best case, has to be cleaned up or redone, or, in the worst case, gets the IRS up your ass

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#124

I sent this to accounting friends and this aligns with what I've been going through trying to use LLMs to create a game from scratch. Seems like the current best use case for language models (even with agent mode) is to feed it exactly what you want to get out, essentially turning it into a better auto complete. Still saves tons of time, but it isn't a panacea.

this exactly right. remember, these models were trained to be functions. f(x)=y. thats an interface at its heart. when x and y are language, then its a translator.

they have emergent capabilities, like "translating" instructions/questions in X to the probable answers in Y, but i think people are getting way way ahead of themselves with those. these things still fundamentally cant think, and we can try to mimic thinking with scaffolding but then your just going to learn the bitter lesson again

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#125
post #37

Hey all, member of the benchmark team here! The goal for this project was to see how LLMs well could do bookkeeping without an overly opinionated scaffold. We gave them access to processed transaction records and code execution tools, but it was up to them to choose exactly how to use those. Claude and Grok 4 did reasonably well (within CPA baselines) for the first few months, but tended to degrade as more data came…

Moving beyond the specific ground truth example, how much of the eval can be automatically verified, vs requiring a human baseline to check?

Eg I can imagine invariants like balancing anccounts are essentially mechanical, but classifying spending categories currently requires judgement (and therefore human-curated ground-truth). But I’m curious if there are approaches to reduce the latter, say with constructing a semantic graph ontology for the domain or something along those lines.

I guess there is an interesting duality here in that if you solve the eval you have also created a valuable business!

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#126

Earlier quoted context omitted.

I'm not even sure it saves a ton of time to be honest. It sure _feels_ like I spend more time writing up tasks and researching/debugging hallucinations than just doing the thing myself.

This is consistently my experience too, I'm seriously just baffled by reports of time saved. I think it costs me more time cleaning up its mistakes than it saves me by solving my problems

ive found that the shorter the "task horizon" the more time saved

essentially, a longer horizon increases chances of mistakes, increasing time needed to find and fix them. so at one point that becomes greater than the time saved in not having to do it myself

this is why im not bullish on AI agents. task horizon is too long and dynamical

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#127
post #19

I guess having access to tools / running Python would make all the difference.

"Available Tools: [...] create_tool(tool_name, description, python_code, parameters) Create a new tool that can execute Python code. The tool becomes immediately available for use. Tools can call other tools and return different formats based on context (formatted for direct calls, raw data for tool-to-tool calls)."

It seems it does!

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#128
post #3

We've been on this train of not caring about the details for so long but AI just amps it up. Non-deterministic software working on things that have extremely precise requirements is going to have a bad outcome A company may be OK with an AI chatbot being so bad it results in 5-20% of customers getting pissed off and not having a 5-star experience. The SEC and DOJ (and shareholders) are not going to be happy when the…

Human accountants are notoriously non-deterministic too, and any sufficiently complex accounting process contains inaccuracies. The question then is always "are these inaccuracies material ". I'm actually very impressed by TFA and it seems to me that if we get another order of magnitude improvement, it'll be around the accuracy of human accountants.

humans can operate in dynamical systems (where your actions can change the underlying system). LLMs are not trained to do that and have shown to be terrible at it

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#129
post #37

Hey all, member of the benchmark team here! The goal for this project was to see how LLMs well could do bookkeeping without an overly opinionated scaffold. We gave them access to processed transaction records and code execution tools, but it was up to them to choose exactly how to use those. Claude and Grok 4 did reasonably well (within CPA baselines) for the first few months, but tended to degrade as more data came…

Are you planning to open-source the benchmark environment and data (even anonymized) to allow people to compete on it. It looks like there are many ways to improve the accuracy of the agent by working on its logic (different tools, multi-agents ...).

Re: AccountingBench: Evaluating LLMs on real long-horizon business tasks

#130
post #99
post #56

Earlier quoted context omitted.

How can "which is the larger number" be an ambiguous question?

Which is the bigger version number? Version 9.9 or version 9.11? Which is the bigger dollar amount? $9.9 or $9.11? Periods are not always used for the decimal separator but also as a separator for multiple sets of semi-independent numbers.

if someone says "which is the bigger number" with no context you wont assume software version number, lets be real here

also $9.9 is clearly 9 dollars and 90 cents.

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