Financial Statements

Financial Statements 

Use your financial reports to increase your profit!

We can prepare or supervise the preparation of your financial statements. Compiled, statements can be provided according to your needs.

More importantly, we can help you use these statements, as well as other reports, to better manage your business and increase your profitability.

Good financial records are necessary for several reasons:

Daily operating decisions are based on financial reports.

Bank loans require reports of past performance.

Tax return numbers need proper substantiation.

Prepare financial reports monthly. For year-to-date comparisons and to make quick management decisions, financial reports must be done monthly. "As goes the month, so goes the year." You can compare the sales, gross profit, and net profit at, say, the end of May, with prior years and get a good idea of how the current year will finish. You can compare the total accounts receivable or payables with prior years to spot problems and then quickly take corrective action.

Here are some common business ratios you should monitor on a month-by-month and a year-by-year basis:

Current Ratio - Current assets divided by current liabilities will measure your ability to pay your current debts.

Debt to Equity Ratio total liabilities divided by net worth will provide you with a year-to-year comparison of your ownership in the company.

Receivables Outstanding Receivables divided by average day's sales will give you the number of days' sales on the books.

Profit Margin Gross profit divided by net sales is one of the most important numbers for you to monitor regularly.

You can learn more about directing your net profit!

If you would like to learn more about using financial statements to make sound business decisions, we would be happy to assist you. No one was born understanding financial information, but it is easier to learn than most people think.

Please ask as many questions as you like; we will help you until you are comfortable with business numbers and can use yours to increase your profitability.

What are you interested in?


We want you to get the best financial and tax help possible. If you have a question which is not addressed here, please contact us via e-mail: stephen@schellcousa.com or by phone: (972) 255-5310.

To explore our home page, click on your topic of interest. We invite you back to our pages often. Bookmark this as a favorite page or make it your first page when you log on.

We do not endorse any of the businesses, products, or services you may find on connected links. We have provided such links as a convenience for you to see what the Internet has to offer.

What are you interested in?

Our Home Page

Tax Returns/Tax Planning

Investment Review

Household Budgeting/Financial Planning

Financial Planning Calculators


Estate and Gift Planning

Record Retention Guidelines

Business Consultation/Analysis

Other Special Projects/Services Available

Other Links of Interest

Stephen M. Scheller, CPA, CMA, CSA
6230 N. Beltline Rd., Suite 340
Irving, Texas 75063
Phone: (972) 753-0900
FAX: (972) 753-0794
e-mail: stephen@schellcousa.com

MAPSCO Reference #21A-F

all rights reserved