axm cash: burning or piling up?, page-8

Hi GreatJazz

Missed note (iii) in the June quarterly report as it was posted to "year to date" production payments instead of to "current quarter" production payments.

Were the June production costs properly accrued in the June quarterly report under the "production payments" line? Sure, cash outflow is in July, but were these expenses accrued and included under June quarterly production payments?

If not, why not?

If not accrued and they exceeded $10,320,000 then was/is the company technically trading whilst insolvent?


Stagman