Effortless financial statement analysis with QuickBooks
Major business financial statements
Though not every business’s financial division operates alike, there are seven major types of financial statements that are common in most types of businesses:
- Balance Sheets – These provide a snapshot of a business’s financial record at a specific point of time. It is crucial that the total amounts on each balance sheet are in balance, to ensure accurate financial statement analysis.
- Statements of Equity – These types of statements in the financial statement analysis process display the business owners’ capital amount and legal rights to the assets that are signed to them.
- Profit and Loss Statements – Also known as income statements, these documents determine how revenue (the gross total amount before expenses have been accounted for) has been transformed to net income (the total amount after all expenses have been accounted for).
- Statements of Cash Inflow – Cash inflow statements display funds that are generated and received by a business such as a company’s sales revenue, owner investments, asset sales and donations.
- Statements of Cash Outflow – Cash outflow statements display a business’s expenses and funds that go to third parties from a business’s account. These can include costs for stationary, furniture or operational equipment, loan or credit card payments, asset purchases or owner withdrawals.
QuickBooks accounting software offers a time-efficient solution for financial statement analysis reports
QuickBooks range of comprehensive accounting software features advanced capabilities that can considerably decrease your time spent on accounting tasks such as preparing financial statement analysis reports. With a user-friendly interface and tools to customise, QuickBooks accounting software can add significant value to your business’s finance department. Peruse our range of software packages, including QuickBooks SimpleStart, QuickBooks Pro andQuickBooks Premier, to find a program that meets your business’s financial requirements – so that you can have more time to spend on growing your business.