By making a comparison of expenses and income you can track your profit.
1. What is the comparison between income and expenses?
With the comparison between income and expenses, it will be possible to view your final balance (Input/Output) in a given period. With this, the manager will be able to have an idea of the percentage that the expenses represent within all the income. This analysis will help in decision-making, such as reducing expenses.
2. How can such comparison help me?
- It helps to control the percentage of expenditure on revenue. For an agency, this is very important, as it shows the volume of revenue and expenditure in a clear and simple way.
- Allows you to analyze how much non-operating revenue represents in the agency. In many cases, agency managers cannot se this more detailed view, and they end up thinking that every volume of money that enters the company is effectively the agency's revenue.
- It is possible to analyze which expense items weigh the most within the agency, and with that, develop an action plan to reduce such expenses.
To access such comparisons, go to Financial -> Reports -> Expenses Comparison / Revenue. Add in the date and account filters using the fields.
A screen will open with the data in the form of a table.
Note that, at the top of the table, you will have the total income (operating and non-operating) and the breakdown of expenses below it. The information will be divided by month, according to the selected search period, and you will also have columns with the total and the percentage.
You can print the report in PDF or generate an Excel version.