How Financial Statements are Created

• The Dashboard displays any transactions that are out of balance on the left, and all the accrual accounts on the right. It is opened by default.
• The Statement of Profit or Loss provides an overview of an organisation’s profitability during a selected period. Data can be viewed monthly, annually, or for custom dates.
• The Statement of Financial Position provides a snapshot of an organisation’s financial position on a specific date.
• The Trial Balance provides a list of all the accounts that have balances during a selected period.
• The structures of these reports are determined by the Chart of Accounts.

Navigation Example: Main Menu > Accounting > Financial Reporting

How Financial Reports are Created in QuickEasy BOS Accounting 

Financial Reports in QuickEasy BOS show whether your business is making money, what it owns (Assets), and what it owes (Liabilities). 

Every time you record a transaction (e.g. a sale, supplier payment, or bank deposit), it is stored with details about what account it affects (e.g. Sales or Cash), how much money moved, and when it happened. The system uses this transaction info to build your reports by sorting and adding it up.

Step-by-Step Process 

1. Collects the information from each transaction:
   1. Selects the accounts that are involved (e.g. Rent or Cash).
   2. Checks whether money came in (credit) or went out (debit).
   3. Checks the date it happened.
   4. Checks which part of your business it belongs to (if you track multiple entities).
2. Sorts the information into the applicable format:
   1. Income Statement: Includes a specific period (e.g. January to December), to show a profit or loss. It adds all the debits and credits from transactions relating to Income and Expenses within that time.
   2. Balance Sheet: Provides a snapshot of the business on a specific day (e.g. December 31). It displays the ending balances of Assets, Liabilities, and Equity on that date. The ending balances represent the sum of all the debits and credits.
3. Rolls up account totals to Groups and Sections:
   1. The balances from sub-accounts are added to create a balance for the main account.
   2. The accounts in each section are added to create a subtotal for the section.
4. Calculates summary lines:
   1. Income Statement: Calculates and displays summaries like Gross Profit (Revenue less Cost of Sales) or Net Profit (all the credits (income) less all the debits (expenses).
   2. Balance Sheet: Shows totals for Assets (everything you own), Liabilities (what you owe) and Equity (Shares, Retained Earnings).

With QuickEasy BOS, your transactions turn into reports that help you see your organisation’s money story clearly—whether it is profit over time or its worth today.