How to read Xero management reports
Fill in the dates and period in which you will compare to your Overall Budget for your Profit and Loss report VS your Budget.
This is your month actual versus budget and you can see the variance at the third column.
On the right columns you can see the year-to-date performance or actual figures also versus budget.
You can also see your sales. net profit, loss in this report.
You can find the Balance Sheet under “Reports” series. If you drill in there you should be able to find out.
The balance sheet is a snapshot of what the business owes and owns in a particular point in time. The general structure you’ll see will be made up of assets and liabilities and equity.
Business Performance Dashboard can be found under “Reports”
This is the Accounts Receivable days and is also knows as the debtors days.
The gross profit is calculated as the sales minus the cost of goods sold which give you your gross profit or your gross margin.
The debt to equity Ratio is sometimes called as the gearing ratio.
The aged receivables report can be found under Reports.
The aged receivable report is particularly important because from here we can see who owes us money and we can go and chase those debtors and get that cash into the business. Here you can find the list of the people that owe you the money.
“Aged” means the months that’s broken down into months and how old those debts are.
In Aged Payable Report you can see the suppliers or people that you owe money.
Here is a really simple example of a cash flow forecast.
The cash flow starts off with your opening cash position or your opening bank balance.
Then the cash flows you expect to come in like money coming in from the sales that you’ve made.
Then the cash outflows like the money coming out for purchases goods, fixed assets