by Noah Green CPA CFE | Apr 30, 2026 | DD Tech Lab
Benford’s Law and first-order Markov anomaly detection are usually presented as separate tools. Practitioners run each in isolation, get two binary “deviation / no deviation” signals, and either use a single tool or take the OR of both. The...
by Noah Green CPA CFE | Apr 27, 2026 | DD Tech Lab
Management override of internal controls frequently manifests through journal-entry timing patterns. PCAOB AS 2401.A.5 identifies three temporal characteristics that elevate entries from routine to requiring substantive testing: entries posted on non-business days,...
by Noah Green CPA CFE | Apr 23, 2026 | DD Tech Lab
Public-company restatements do not arrive at a constant rate. They cluster — temporally (Sarbanes-Oxley wave 2004-2006, financial-crisis wave 2008-2010, revenue-recognition-standard wave 2018-2019) and cross-sectionally (industries with similar accounting complexity...
by Noah Green CPA CFE | Apr 20, 2026 | DD Tech Lab
A disbursement file containing 5,250 vendor payments reveals its control architecture through statistical anomalies. The auditor observes 285 payments clustered in the narrow $9,500–$9,999 range while only 42 payments appear in the adjacent $10,000–$10,499 range — an...
by Noah Green CPA CFE | Apr 16, 2026 | DD Tech Lab
Risk-based audit sampling under PCAOB AS 2315 directs the engagement team to allocate substantive procedures toward higher-risk accounts. The continuous version of that decision — how heavily, in what sequence, with what update rule as new evidence arrives — is a...
by Noah Green CPA CFE | Apr 13, 2026 | DD Tech Lab
Year-over-year percent change with a 10% threshold remains the most common analytical procedure on multi-period balance trends. The metric has known limitations the practitioner should account for: it is undefined when the base is near zero, it carries no notion of...
