Question

Write financial report cover letter

Profit & Loss January 2015 Jan 15 % of Income Ordinary Income/Expense Income Merchandise Sales Service Sales 225,500 6,100 97% 5% 0% Uncategorized Income Total Income 231,600 100% Cost of Goods Sold Cost of Goods Sold 72% 167,500 72% 167,500 Total COGS 28% 64,100 Gross Profit Expense Depreciation Expense Insurance Expense Interest Expense License and Permit Expense Office Supplies Payroll Expenses Rent Expense Telephone Expense Uncategorized Expenses 1,750 1,500 1,000 23,000 500 9,647 3,000 1% 1% 0% 10% 0% 4% 1% 1% 1,400 0 0% 41,797 18% Total Expense 10% 22,303 Net Ordinary Income Other Income/Expense Other Income 0% 75 Accrued Interest Income 0% Total Other Income 75 Net Other Income 0% 75 Net Income 22,378 10% Balance Sheet As of January 31, 2015 Jan 31, 15 % of Column ASSETS Current Assets Checking/Savings Checking 56,709 Total Checking/Savings 14% 56,709 Accounts Receivable Accounts Receivable 18% 75,625 75,625 18% Total Accounts Receivable Other Current Assets Inventory Asset Prepaid Insurance Short Term Investments 140,500 16,500 34% A% 7% 30,075 45% 187,075 Total Other Current Assets 76% 319,409 Total Current Assets Fixed Assets Accumulated Depreciation Furniture and Equipment 0% 1.750 23% 96,900 23% 95,150 Total Fixed Assets Other Assets Prepaid Rent 1% 3,000 1% 3,000 Total Other Assets 100% 417,559 TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Accounts Payable Accounts Payable 18% 73,500 18% 73,500 Total Accounts Payable Other Current Liabilities Accrued Expenses Payroll Liabilities Sales Tax Payable 0% 3,205 1% 4% 17,476 21,682 Total Other Current Liabilities 23% 95,182 Total Current Liabilities Long Term Liabilities Notes Payable 48% 200,000 48% Total Long Term Liabilities 200,000 71% Total Liabilities 295,182 Equity Capital Stock Net Income 100,000 22,378 Total Equity 122,378 25% TOTAL LIABILITIES & EQUITY 417,559 100%

Answer 1

Monthly financial report

Date:

Subject: Financial report for _____ Co, for the month ended January 2015.

Name of the issuer,

Designation of the issuer,

Opinion:

The monthly financial report is attached with the Balance sheet as ay January 2015, and the Profit and loss account for the month ended January 2015. The brief description for the financial report for the month ended January 2015 is:

The current assets are more than the current liabilities, which make the current ratio good, and it will help to cover our current liabilities properly. The current ratio of the company for this month is 3.35:1.

The gross profit for the month is 27.6%, the operating income ratio is 9.6%, and the net profit ratio is 9.6% again, this shows that the company is on good position after the month.

The return on assets of the company for the month is 0.55, the return on equity 1.8, which makes the company in a good position too.

This helps us to plan the business and its future and where it is going. The above data will help the readers to have a crisp knowledge about the financial conditions of the business. This will help the readers to comprehend the financial situations of the business and its future easily.

Thanking you,

_____

(Manager)

Enclosed: Balance sheet as at January 2015, and The Profit and Loss account for the month ended January 2015.