Invaluable Monthly Comparative Information
You see now that by the use of the Daily Exhibit you have a running history of your business by days, weeks and months. But this is hardly sufficient for a clear view of your business, since you will want some record which will tell you what the year’s business has been, and how it varied from month to month.
This is provided for in the Statistical and Comparative Record, illustrated by Fig. 188, on which the amount of sales, cost of sales, gross profit, expenses and net profit are entered for each month of the year. All the figures for entry in this record are taken directly from the Daily Exhibit at the end of the month, which makes the work of compiling it a very easy task.
The advantages of a record of this kind can hardly be overstated. The figures in the upper part of this statement will show which months have been profit payers and which have not, while from the figures in the lower part of the report you are able to determine the percentage any group of expenses bears to sales, and are thus in position to subsequently control such items.
Do not let the fear of doing a little bookkeeping work prevent you from keeping these records. They should go a long way toward solving the problems which the average proprietor faces today:
1. Selling his goods and services without a profit.
2. Failure to show sufficient net profit at the end of the year.
3. Constantly increasing cost of doing business.
You may think at first glance that it will require a great deal of extra work to keep these records, but in this you are mistaken. They are very simple and easy to operate. The American Bureau of Engineering, Inc., will advise you where to obtain these forms.
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