# Benford’s Law

Benford’s Law is a mathematical equation that predicts numbers that occur in any sequence will start with a 1 (one) 30% of the time, and a 9 (nine) only 4% of the time!

Distribution of First Digit

Check it out!
Benford’s Law – Wikipedia

That’s how people can audit and spot “cooked books” in audits, simply by noticing an inordinate number of values that start with 8 or 9!

In 1881, Newcomb discovered the statistical principle now known as Benford’s law, when he observed that the earlier pages of logarithm books, used at that time to carry out logarithmic calculations, were far more worn than the later pages. This led him to formulate the principle that, in any list of numbers taken from an arbitrary set of data, more numbers will tend to begin with “1” than with any other digit.

Study this for yourself: Simply notice ANY number, ANYWHERE in “nature.” 30% of the time it will start with 1, followed by 2, and lastly, again at less than 5% of the time, will it start with 9. Wow!