The Wednesday Lowdown ⬇️

If you're new around here, every day I share the 4-5 best accounting insights I saw in the past 24 hours.

I scroll. so you don't have to.

💎 WTF of the Day

Walmart’s Price Hike Puts RIM Accounting in the Hot Seat

Walmart’s saying prices are about to jump thanks to Trump’s new tariffs. But there’s a deeper issue: how they account for those prices. Big retailers like Walmart use something called RIM accounting (Retail Inventory Method).

It’s a shortcut that estimates inventory costs instead of tracking every item exactly. Problem? It can make their profits look better than they really are, especially when prices are rising fast. So yeah, shoppers are paying more, but investors might not be seeing the full hit on margins either.

Source: Fortune 

💎 What’s poppin in accounting

Accounting Fees Are Rising and the U S Could Be Next

In Australia, accounting firms are raising their prices fast. A new report shows 4 in 5 plan to hike fees this year, blaming rising business costs. Personal tax prep now averages over 300 dollars, and company filings often top 3,000 dollars.

Why does this matter for U S firms? Because the same pressures, inflation, tech costs, staffing shortages, are hitting here too. If Aussie firms are this blunt about raising rates, it’s only a matter of time before more American firms follow suit.

Source: Accounting Times

 📊 Weekly Trend Chart

Oatly’s Oat Milk Hype Is Spoiling

Oatly was once a plant based milk darling, worth 17 billion with a cult following. Now? Sales are shrinking, the stock is down 98 percent from its 2021 peak, and the brand is scrambling to stay relevant.

Americans are ditching alt milks especially oat, in favor of traditional dairy, which just had its first real consumption growth in over a decade. Add in growing scrutiny around the nutritional value of milk alternatives and Big Dairy's move into the space, and Oatly’s feeling the squeeze.

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