Back to Business Decision Tables
Report Checklist
- Profit and Loss
- Balance Sheet
- Accounts Receivable Aging
- Accounts Payable Aging
- Transaction Detail Report
- Bank Reconciliation Summary
Profit and Loss
Purpose: Shows income, cost of goods sold, expenses, and net income for the selected period.
Professional Analysis
The Profit and Loss report shows income of $10,200.77, cost of goods sold of $405.00, gross profit of $9,795.77, expenses of $7,621.70, net operating income of $2,174.07, other expenses of $2,916.00, and net income of -$741.93. The report shows that the business generated revenue but ended the period with a net loss after total expenses.
Result
The owner can identify the expense areas that reduced profitability and use the report to review spending, pricing, and job profitability.
Balance Sheet
Purpose: Shows what the company owns, owes, and the equity position at a specific date.
Professional Analysis
The Balance Sheet shows total assets of $21,611.91, current liabilities of $6,991.34, long-term liabilities of $25,000.00, total liabilities of $31,991.34, and equity of -$10,379.43. The report is balanced, and the negative equity position shows that liabilities are higher than the owner’s equity position.
Result
The owner can review the company’s financial position and decide whether to focus on reducing liabilities, improving cash, and strengthening equity before expanding.
Accounts Receivable Aging
Purpose: Shows customers who owe money and how long invoices have been unpaid.
Professional Analysis
The A/R Aging report shows total customer balances of $5,281.52, including $3,756.02 current, $1,128.50 in 1–30 days, $241.00 in 31–60 days, and $156.00 in 61–90 days. The aging detail helps identify which invoices should be followed up first.
Result
The business can improve cash flow by following up on older unpaid invoices and keeping current balances from becoming past due.
Accounts Payable Aging
Purpose: Shows vendor bills the company owes and how long they have been unpaid.
Professional Analysis
The A/P Aging report shows total vendor balances of $1,602.67, including $755.00 current, $761.23 in 1–30 days, and $86.44 in 31–60 days. The report provides a clear view of upcoming and overdue obligations.
Result
The business can plan vendor payments, avoid late fees, and protect vendor relationships while managing available cash.
Transaction Detail Report
Purpose: Shows detailed activity behind the accounting records.
Professional Analysis
The Transaction Detail report shows activity by account, including Checking, Mastercard, Automobile, Dues & Subscriptions, Equipment Rental, Meals and Entertainment, Office Expenses, and Job Expenses. The report includes A1 Rental activity of -$1,200.00 and $800.00, with Equipment Rental totaling $1,800.00.
Result
The bookkeeper can trace financial report totals back to individual transactions and review account coding before reports are shared with the owner or accountant.
Bank Reconciliation Summary
Purpose: Shows proof that bank or credit card activity was reconciled.
Professional Analysis
The reconciliation summary confirms that the Checking account was reconciled on 05/22/2026. The statement ending balance and register balance both show -$623.38, and the reconciliation difference is $0.00.
Result
The owner or accountant can rely on the reconciled balance for reporting, bill payment planning, and cash flow review.