Paychest Inc (PYCT)

[Anvil]

Of course they inaccurate. No expenses? But the real tell tale sign is the amount of cash they have on hand and the "bank deposit payable" are identical. The bank deposit payable really means they are overdrawn on their bank account. No way would their bank let that ride for 3 months. And it would be coincidental to have an identical overdraft at each quarters end.

The $5MM asset (flushaway) is the offset for the $5MM loan payable to CES. That $5MM should be amortized like any other intangible asset. Additionally, the $5MM note payable should be broken down into current portion of long term debt (payable within 12 months) and the rest as long term debt.

Amazing how the simplest of accounting errors were made.