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- Your client’s payments need a second look
Your client’s payments need a second look
just added the borders
I share the 4-5 most important accounting that actually matter. I scroll so you don’t have to.
So grab your coffee, take a quick break, and lets catch up.
Today’s Ledger:
A vacation cracked open a CFO fraud.
FASB says locked-up stock needs a haircut.
Streaming’s future looks a lot like reruns.
WTF of the Day🤯
AI Is Making Basic Fraud Harder to Catch
A business owner watched millions disappear because his CFO had been quietly building fake vendors, opening another bank account, and moving money through it. The fraud was not some genius Ocean’s Eleven thing. It was basic. One person had too much control, nobody was watching closely enough, and the CFO never took vacation. Then he finally left town, the bank flagged a weird transaction, and the whole thing cracked open.
That is the real AI fraud problem for CPAs. The schemes are not always new. Fake vendors, fake accounts, and bad payment flows have been around forever. But the execution is getting faster and harder to catch. Bill found that 56% of businesses saw fraud attempts rise last year, and 42% said those attacks are getting more sophisticated. So the job now is not just spotting red flags after the damage is done. It is making sure clients use payment systems with real security, real monitoring, and tools that can catch weird activity while there is still time to stop it.
What’s poppin in accounting🍿
FASB’s Restricted Stock Problem
Some investment funds own stock they are not allowed to sell right away. Maybe a contract says they have to hold it for a certain amount of time. That matters because stock you cannot sell today is usually worth less than stock you can sell whenever you want.
The issue is that current rules can make funds price that locked-up stock like normal stock. That can make the fund look richer than it really is. FASB wants investment companies to include that restriction when they value the stock and show the discount. If the stock is stuck, the books should not pretend it is easy money.
Weekly Trend Chart 📊
Streaming’s $135 Billion Rerun Problem
Hollywood is weird right now. The box office might have its best year since 2019, maybe even crossing $10 billion. Big movies like The Super Mario Galaxy Movie, Michael, and Toy Story 5 are doing real damage. But studios still do not know what the magic button is anymore. Superheroes are shaky. Sequels are not guaranteed. And random internet horror guys are suddenly eating everyone’s lunch.
Streaming has a much simpler business model now. Just give people the old stuff. A Luminate report found that almost every major streamer gets most of its viewing from catalog shows, not new originals. That means Friends, Suits, and the shows people already watched ten years ago are doing the heavy lifting. Netflix is the one exception because it spent $135 billion on content over the last decade. But even Netflix still gets 60% of viewing from catalog content. Streaming was supposed to kill cable. Instead, it accidentally rebuilt cable with better buttons.
Meme of the Day😂
pure evil 😂