How do we read our project's financial report?

Revenue & Expense Statement

• A revenue & expense statement summarizes the funds you have received and spent each month.
  
  
• What is Revenue?
  
  
  • The amount of money that your project receives during a specific period

• What is an Expense?
  
  • Opposite of revenue. Payments for employee wages and to vendors during a specific period

• What is Total Revenue over (under Expense)?
  
  • Amount of Money received minus payments during a specific period

An example of a Revenue & Expense Statement:

What is a Detailed Activity Report?

• Provides detail information for a specific period
  
  
• Did we receive a payment from a specific foundation?
  
  
• Did we pay our special event consultant?

An example of a Detailed Activity Report:

What is a Balance Sheet?

Assets = Liabilities + Net Assets

• What are Assets?
  
  • Cash in hand
  • Grants and/or contracts due to your project

• What are Liabilities?
  
  
  • Outstanding bills due to vendors and contractors
  • Outstanding vacation pay due to employees

• What are Net Assets?
  
  
  • Net worth of your project

Example of a Balance Sheet: