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There are two main requirements of the way the financial records are analyzed being to produce a financial profit and loss account for the business on a periodic basis but also to provide the totals of the categories required for taxation purposes. Buying a piece of bookkeeping software written on spreadsheets can thus become an essential tool for the business. The essential element being to both make the accounting simple and easy as listing items automated analysis and summation assisting the financial control and improved financial performance while also producing the benefits of being analyzed to make the completion of annual tax return forms easier. Everyone in business wants to make a profit making financial control important.
Bookkeeping software can be as simple as a home produced spreadsheet but with additional facets that can have significant financial benefits to the business. Bookkeeping software produced on spreadsheets would normally be a series of spreadsheets with the columns preset and titled and formulae written into the sheet to automatically add up each column. In addition the columns used would normally be restricted to general headings to include a full analysis of all items. Small businesses that might produce their own spreadsheet would often do this on an annual basis. Bookkeeping software is much more likely to provide these bookkeeping spreadsheet templates on a monthly basis to enable a degree of financial control to be exercised by the small business.
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If not done it can be confusing for the end user and also becomes harder to maintain the spreadsheet. This separation might involve using separate worksheets or just ensuring a clear distinction between the two areas on the one worksheet. 5/ KISS Too much information on one worksheet can be overwhelming and generally simpler is better. The spreadsheet mentioned at the start of this article could have been improved by spreading information over other worksheets. Other ways to achieve a simpler look are: - Using charts to convey information rather than tables of data. - Increasing the row height so that the worksheet is not too dense with data. - Shading every second row on a worksheet with a light colour where there are lots of numbers. 6/ Consider the Normal Flow of a Document The usual way to read a book newspaper or just text on screen is left to right and top to bottom.