by Noah Green CPA CFE | May 15, 2026 | DD Tech Lab
What you’ll be able to do after reading this. Read an AIP prompt specification and understand what structured output it produces. Recognize the four-gate validation pattern (schema validate, citation substring, hallucination verifier-LLM, insufficient-corpus...
by Noah Green CPA CFE | May 15, 2026 | DD Tech Lab
An ownership chain that nests beyond three levels is the point at which the DD analyst’s tooling has to change. A natural person owns 51 percent of Entity A; Entity A owns 80 percent of Entity B; Entity B reaches a 40 percent indirect interest in Entity C...
by Noah Green CPA CFE | May 14, 2026 | DD Tech Lab
the preceding articles in this sub-series modeled discrete-state sequences in discrete time. The implicit assumption — transactions occur at evenly-spaced moments — discards the most diagnostic feature of period-end audit work: the timing itself. A transaction stream...
by Noah Green CPA CFE | May 11, 2026 | DD Tech Lab
Revenue tracks accounts receivable until the collection cycle breaks. Cost of goods sold inversely tracks inventory changes until capitalizations distort the flow. Cash tracks operating expenses until reclassification schemes decouple them. These account-pair...
by Noah Green CPA CFE | May 7, 2026 | DD Tech Lab
First-order Markov modeling assumes the next state depends only on the current state — what happened one step ago tells you everything you need to know about what happens next. For most audit applications this is a useful approximation. For long-memory fraud schemes —...
by Noah Green CPA CFE | May 4, 2026 | DD Tech Lab
Coarse-band threshold testing catches major asymmetric clusters but misses two refinements requiring dedicated analysis. Bimodality (two distinct peaks in the distribution) means the file behaves as if two different payment systems were mixed together: a normal...
