How to Create a Statement Sheet in Google Docs
Statement sheets are used in financial statements to accommodate the business's income and expenses in a specific timeframe. It tracks the business's financial accounts, and it is used as an expense tracker as well. The statement sheet usually comprises an annual period, but it can also be monthly or quarterly. For a huge and small business, statement sheets show the inventory of accounting costs and expenses that are associated with the revenue. In simple terms, it presents how much the industry has earned and lost over a specific time. It will help the business to be fully aware of the yearly account statements. Under the statement sheets, the following cases include the standard profit and loss statement, balance sheets, billing, and so on.
Statement sheets are useful when it comes to evaluating your business's financial progress. With this, you will be able to find relevant solutions on how to make some improvements to gain or to maintain your profit. If you intend to make one, you can create a statement sheet by only using Google Docs and blank statement spreadsheet templates. To be guided, here are some step-by-step instructions to create one.
1. Begin with the Net Sales
For the first step, launch your Google Docs application and begin with the net sales that are being subjected for a specific time. Business net sales usually present the gross sale at a particular time, budget, discounts, product returns, lost and damaged goods, and more. It must be organized from the reduction of various expenses to net profit over a specific period of theme, whether annually or monthly basis.
2. Calculate Profit
In every statement sheet, the calculation of profits usually takes place, whether it is a vendor account or any other small business. The profit showcases the cost of goods or services that are being provided. The cost of goods or services includes the following materials that were being used and labor which produces the products. Compute the total amount of profit from the cost estimates of the products or services and subtract it to the net sales to be able to arrive at the gross profit.
3. List the Following Operating Expenses
For the third step, list down the following expenses such as costs of good or services that were being allocated. General expenses include the following materials, utilities, salaries, and rent. Make a guided assessment sheet to classify these expenses for selling, administrative, and general expenses. After that, total each of these operating expenses and subtract them from the gross profit to come up with the operating income.
4. Elaborate the Non-Operating Expenses
Since we have operating expenses, some expenses are not directly for operations, and these are called non-operating expenses. The following non-operating expenses include interests, installments, loans, devaluation, and tax expenses. This section will also have to record a standard profit and loss statement where you can evaluate the gain and loss of the specific inventory.
5. Layout Everything
Now that you have compiled your data, layout each of these data in a statement sheet template. Put your net sales at the top portion of the content and make sure that the pieces will follow in order. Next, supply the gross profit that you have calculated from Step 2. Then, add the operating costs as well as the operating income that was being calculated from Step 3. Lastly, incorporate the non-existing expenses to reveal the final net income. You can proceed with constructing a financial analysis for you to be able to assess everything.