05/19/2025

Well, hi there! Sit back, enjoy, and relax as you’re currently on the Daily Accrual.

Every day, I sift through the accounting noise so you don’t have to. I share to you the most relevant, juicy accounting insights that really matter – nothing phony, just some good, accounting testimony! 

📝 Journaling Insider

Trump’s reduction of Chinese import tariffs from 145% to 30% offers temporary relief for small businesses. The 90-day window is too short for receiving new inventory, while uncertainty r threatens future increases. Businesses remain extremely cautious, with some companies avoiding new orders entirely due to long lead times and financial risk.

Despite the cut, tariffs remain steadily high — averaging 40% on Chinese goods and 17.8% for consumers, the highest since 1934. Bankruptcy filings are up, and companies are laying off staff and reducing costs due to strains on global imports. Experts stress that without a broader trade deal, small businesses will continue facing economic strain and financial instability.

Source: CPA Practice Advisor 

💰 Making Cents of Accounting

#AuditTraumaClub🤕🛡️

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Let’s face it — you didn’t become a CPA to memorize healthcare acronyms like you’re prepping for med school. Stark Law? Sounds like a Game of Thrones rule. HITECH? You probably thought it was a startup AI-focused business, huh?

If you’re confident with a balance sheet but get nervous around healthcare compliance landmines — this is your skill-expansion training with Wisdify.

Healthcare Budgeting and Forecasting (3.0 CPEs, 11 lessons ) covers necessary financial skills revolving around healthcare management. You’ll learn various budgeting methodologies, data forecasting techniques on patient volume, and various revenue projection methods. Practical application through hospital-based case studies develops comprehensive budgets while enhancing financial planning tailored for healthcare operations.

Financial Statement Analysis in Healthcare (2.5 CPEs, 15 lessons), focuses on interpreting healthcare financial statements. Revenue recognition, key financial ratios related to profitability, and financial risks within healthcare organizations are to be discovered. Participants will gain specialized knowledge in evaluating financial health, optimizing lending and investment decisions, benchmarking performance, and navigating healthcare regulatory impacts.

Healthcare is calling. Answer like a CPA who knows the code section and the budget line requirements. Enroll in Wisdify today before compliance gets you asking for “dummy guides”.

Source: Wisdify

💸 Profit & Loss Report

The House Budget Committee narrowly approved the 1,116-page “One Big Beautiful Bill Act” on Sunday after earlier rejecting it on Friday. The bill, which merges proposals from 11 various committees, advanced 17–16 after four Republicans shifted their votes to “present,” allowing it to move forward unamended despite ongoing concerns towards unscored cost.

Estimates suggest federal deficits would increase by $3.3 trillion through FY 2034. A proposed SALT deduction cap increase to $80,000 was defeated, settling on a $30,000 cap — projected to raise $916 billion over the next decade. The AICPA criticized the bill’s impact on passthrough service businesses, now heading to the House Rules Committee for the next review.

Source: Journal of Accountancy

💎 Rare Accounting Oddities

Form 10-K and the quarterly hero Form 10-Q — are the most powerful tools in spilling the financial reporting tea which is generally required by the SEC.

Sworn testimonies on a company’s  financial story gives investors a peace of mind, while accountants continue working on reporting drama to unravel.

So, the next time you're knee-deep in footnotes or marveling through a reporting sheet, tip your hat to the 10-K and 10-Q — who are the real unsung watchdogs of capitalism.