$TSLAQ I have tried to explain this recon in the past from the cash flow statement. Never worked. This is a final try. This is the PPE/Depreciation vs non-cash financing found in the balance sheet for 2022. First the PPE/Accumulated depreciation calculation. (1) My base bogie is the $2,148m. For this to be real, there has to be a variance between liabilities of $2,148m that shows that something was financed in the balance sheet. A/P to LTD. (2)

That is the end. And it was much worse than I could have ever imagined. Let me put this in perspective. One person asked about a $5.7B credit that equaled 2.5 quarters of net income. A blatent lie was given by the CFO and the call ended. (1) There is no new product coming from anywhere. Cybertuck deliveries are insignificant. They had magic margins holding especially in leasing that no one cared to ask after the world knew that they had to cut prices just to move metal. (2)

$TSLAQ as we all brace for the accounting wonders that will revealed at 4:30 CDST, here are some historical numbers of the magic of their accounting: (1) Aggregate net income b/f taxes from Q1 2020 until Q4 2022 was $20.224B. ZEV tax credit sales were $4.82B or 23.84% of profits. (2)

Since Twitter has endless Central Bank discussions about the Fed bond portfolio, cash within the system & inflation, let me explain this in debits and credits. In banking, this is blocking & tackling or hitting, catching or throwing a ball. Everything is a journal entry. (1) To add more comfort, it is readily apparent that no-one at the Federal Reserve was a teller, a loan administrative assistant, or a customer service representative at a commercial bank. Because, on the first day of work, this is what they are taught: (2)

This is just fascinating as hell. Bumping the largest caps across all the indices - 1.5% to 2% moves in the last hour pushing back each draw down. There is selling into it across the largest market caps and someone is just vacuuming the volume to hold price.

$TSLAQ The quarter’s manipulations were limited in number of accounts, but they are amazing significance in absolute dollar amounts. Including ZEV credits, it's 49% of pre-tax income. (1) Prepaids and other current assets. Cashflow statement had a decrease of ($289m) but the balance sheet showed a $312m increase. $601M – 18% of profits. A top five manipulation in percentage but #1 in size (x5). @orthereaboot here is your missing SG&A: (2)

$TSLAQ I get it, duel entry accounting is not exciting and even within accounting fixed assets are a wasteland. BUT, Luca Pacioli came up with the concept of duel entry accounting in 1494. He was a contemporary of da Vinci, Copernicus & Martin Luther. (1) And we still use it today. Sure, we got Debit and Credit from the Scottish. But that's just nomenclature. Can you think of anything else that has had such longevity within business in substantially the same form? (2)

$TSLAQ One of the most important aspects of duel entry accounting since it's creation by Luca Pacioli is it's interconnectivity throughout all the statements. If you are going to try and manipulate financial statements, it's hard as hell. (1) For the quarter ending 12/31/21 (remember quarter only so these expense & accrual numbers had to be calculated manually by digging into the Q's and netting previous periods: change by quarter in accumulated depreciation: $499m. Depreciation expense: $499m. (2)

Since I prefer Guinness (Edmund Burke) to Sangria (George Santayana), “Those who don't know history are destined to repeat it.” The following are brief summaries of some of the most cited Elite Economic Journal articles examining inflation from 1975 to 1982. (1) Elite is defined by ABS – Australian Business Schools. Why Australia? Well, they were the first to categorize business discipline journals by quality. Look up Tall Poppy Syndrome. It should give comfort to the quality of the list. (2)

$TSLAQ This is an interesting anomaly that I have been following which has finally given sufficient data points to post. Why does $TSLA have quarters where accumulated depreciation is either equal to or greater than depreciation expense? (1/8) Fixed asset accounting is not the most sophisticated accounting treatments. There are three possibilities for PPE: purchase, sale, and retirement. This includes leasehold improvements but not capital leasing. Capital leasing is a separate animal. (2/8)

$TSLAQ Q4 could earn the lifetime achievement award for accrual manipulations. $790 mm potential manipulations. A crowning achievement for Zack. (1/10) CEO performance awards: Page 84 of the K: vested but not accrued expense of $65m. To be accrued in 0.6 years (219 days or 7.3 months.) This is also the award winner for stupidity of a disclosure. 0.6 years? (2/10)

$TSLAQ Here are the crimes against accounting butchers bill for the Q3 2021. Keep in mind, since the Bitcoin purchase, I cannot calculate an estimate for the difference between disclosed PPE purchases and what they capitalized. I am missing the loss/gain entry. (1/8) Attached are the journal entries with the calculation. IT IS AN ESTIMATION SO ACCEPT IT AS SUCH. The loss is an historical estimate. $239mm potentially over capitalized. (2/8)

$TSLAQ I find typing this as distasteful as anyone reading it. I can't find a smoking gun to explain the margin improvements in the Q. This is a quarter of normal victims. (1/7) CEO Performance Awards: This is clearly disclosed by $TSLAQ in CEO Performance Awards. $105m under accrued for the quarter. Reported as earned but not expensed. (2/7)

Smart money: FSD take rate. Musk: doesn't matter until we stop killing people with our shitty software. Smart money 2: Someone hit my COGS improvement in a year and ask how the future looks. Musk: we can't predict shit.

@BradMunchen Retail for you: supercharger network. Retail again: batteries and what will replace the fantasy salt lithium batteries.

In my perverse accounting mind, I have been waiting for years for the CCP to announce their presence with authority & assume control of educational entities in China. Why? Variable Interest Entities (VIE) of these companies are consolidated. (1/14) That day of reckoning is upon us. Fortunately, the CCP signaled it sufficiently that I could put shorts on a few of these pigs two weeks ago ( $EDU $GOTU $TAL). This is a lesson in the pliability of GAAP FASB & PCAOB to market forces & the insecurity of the CCP. (2/14)

$TSLAQ Sales Type Leasing (ASC 842). It caused my emotional breakdown during the soul crushingly absurdity of the Monday earnings call. Anyone know an accounting/earnings call therapist? (1/7) @david_streever & @Nospin9, for entirely different reasons, each should find this interesting. @david_steever, this is a tutorial: viewpoint.pwc.com/dt/us/en/pwc/a…. It’s basic but offers a solid over-view of the standard & this treatment. (2/7)

$TSLAQ So, you only lease 121 S/X (2,020 x 6%) and the leasing gross margin decreases by only 1%. Completely normal. Which came from an increase in COGS? How is this even taken seriously by adults who manage money?

$TSLAQ we have had an interesting week in the $TSLA vortex with a driverless death, the unexpected Consumer Reports takedown of FSD (astoundingly brutal) and China taking the lead on consumer protection for $TSLAQ products (really happened). (1/23) With the earnings call this afternoon, I wanted to review one of the more fascinating replicating accounting anomalies within $TSLAQ: PPE capitalization vs reported expenditures and sales. Sounds boring? Then stop reading and move on because this is long thread. (2/23)

$TSLAQ / @JCOviedo6 This is a more detailed analysis of the information about $TSLA /FCA regulatory credits from @petercampbell1. Remember “once is an accident, twice is a coincidence & three times is a habit.” I have found a coincidence in their accounts receivable. (1/n) The first post I did was for 2020 only and it had some assumptions. I thought it would be more helpful to let the numbers speak for themselves. This is from the comments in the 10(k) concerning the composition of A/R. The important part is highlighted. (2/n)

$TSLAQ Today's account is not one with abnormal behavior that manipulates the income statement. It’s a story that runs counter to the narrative that $TSLA is a screaming growth company adding capacity as soon as possible. (1/n) How to we gauge this story? Through Construction in Progress (CIP). When a building is under construction, equipment has been purchased but not placed into service or equipment is under modification for repurposing/increased productivity, the value is placed in CIP. (2/n)