If you need financial reporting help, here are some of the services we can provide
The financial statement called “The Balance Sheet” is separated into three parts and follows a basic formula: Assets = Liabilities + Shareholders’ Equity. This statement allows the owners and investors to see what the company owns (assets) and what it owes (liabilities), as well as the amount that has been invested in the company (also known as owners’ equity).
Budgeting is a creation of goals, expectations, planning and projections. When creating budgets it is a good idea to start with retrieving last year’s production and costs from your “producers” along with their proclaimed goals for the upcoming year. Then senior management reviews this information and makes the necessary adjustments. When all departments are involved with the budgeting process, it becomes a “group plan”.
Statement of Cash Flows
Tracking your cash flow helps identify the liquidity of your company. This liquidity ratio is found by taking your liquid assets (cash and current assets) and dividing it by your current liabilities. Knowing your cash is important. If the cash presented in your “Statement of Cash Flow” is consistently greater than your net income then you are presumed to have earnings of “high quality”.
There many different types of cost analysis (economic evaluation, cost allocation, efficiency assessment, cost-benefit analysis, or cost-effectiveness analysis). Before you implement a program, invest in new equipment, purchase a sister property, or launch a new service it may be advantageous to perform a cost analysis. This process takes much time, skill and knowledge. You will need to consult with a senior accountant to explore the many benefits and types.