Financial Reporting services
Owners of small businesses often miss opportunities to cut expenses, raise revenue, or make changes to their sales, pricing, or collection methods due to lack of financial reporting. The rational use of financial reports can help companies react to collection, bad cash flow or high overhead or operating costs.
A ledger is a basic financial report that lists the income of a company received and the payment of cash. It does not show the real financial status of a company because it does not record the expenses incurred by it, only when they are payments. A ledger can show that a bank account of the company has money even if the company is submerged in debt.
Auxiliary ledgers are reports that include financial data that is not in your general ledger, such as cash on hand, accounts receivable and accounts payable. When a customer’s bill is paid, that money is taken from the book of accounts payable and transferred to the general ledger.
Profit and loss statements
A statement of benefits and losses, also called an income or P & L statement; (profit and loss), shows the income and expenses of a company for a specific period of time. Like the general ledger, it does not include accounts payable or debts assumed. Companies use these statements on a monthly, quarterly or annual basis to assess the status of the statement. A P & L statement; It is often the basis for tax preparation.
Budgets are planning and registration documents that a company uses to establish spending levels, based on expected revenue. Some budgets use static numbers, such as a fixed amount to discount the service for each month, while others may use a basic formula such as using a percentage of net income each month to discount the service. A master budget looks for all income and expenses of a company, while other budgets, such as overload reports, that break down the behavior of specific areas of the company.
Expiration of accounts receivable
Companies keep a record of who owes them money by creating accounts receivable reports. When they are listed in the order in which they were invoiced, starting from the first invoice until the last, a company can use this report to see who has not paid or when the company expects to receive payments.
Statement of cash flow
A cash flow statement shows the income and expenses of a company as they occur. This document allows employers to have cash on hand for the months in which the bills will be high or exceed the income. For example, in a master budget, the expense of insurance premiums may be the average over the course of 12 months, regardless of when it should be paid. In a cash flow statement, quarterly payments must be recorded in January, April, July and October.