Cases of inexact observations have been used extensively in the recent literature on higher-order evidence and higher-order knowledge. I argue that the received understanding of inexact observations is mistaken. Although it is convenient to assume that such cases can be modeled statically, they should be analyzed as dynamic cases that involve change of knowledge. Consequently, the underlying logic should be dynamic epistemic logic, not its static counterpart. When reasoning about inexact knowledge, it is easy to confuse the initial situation, the (...) observation process, and the result of the observation; I analyze the three separately. This dynamic approach has far reaching implications: Williamson’s influential argument against the KK principle loses its force, and new insights can be gained regarding synchronic and diachronic introspection principles. (shrink)