Overview
The Financial Statements module provides a comprehensive view of your company's financial performance through three core statements: Income Statement, Balance Sheet, and Cash Flow Statement. All data is automatically synced from your QuickBooks integration and follows standard accounting principles to ensure accuracy.
Below is a Loom of a full walkthrough of the feature.
How Your Data is Organized
Understanding Account Types
Your financial data is organized into system-level accounts that match standard accounting categories. Whenever a transaction is booked to the General Ledger in Quickbooks, you must select one of the below accounts to book the transaction under.
Income Statement Accounts:
Revenue (Income)
Cost of Goods Sold
Expenses
Other Income
Other Expenses
Balance Sheet Accounts:
Accounts Receivable
Bank
Current Assets
Fixed Assets
Accounts Payable
Credit Cards
Current Liabilities
Long Term Liability
Equity
Cash Flow Statement Accounts: Our Cash Flow Statement builds from movements on the Balance Sheet
Net Income is pulled from the Income Statement
Cash Add Backs are configurable (more about this below) but automatically pulls in Depreciation and Amortization accounts from the Income Statement as add backs into the Net Change in Cash calculation.
Beginning Cash Balance for each period is pulled from the Bank account in the Balance Sheet
Net Change from Operating Activities lists changes from Accounts Receivable, Accounts Payable, Other Current Liabilities, Other Current Assets, and Credit
Net Change from Investing Activities lists changes from Fixed Assets and Other Assets.
Net Change from Financing Activities lists changes in Long Term Liabilities and Equity.
Ending Cash Balance for each period is calculated by adding or subtracting the total Net Change in Cash from the period.
System Calculated Fields: Kordis also calculates key metrics like Gross Profit, Net Income, Cash Flow totals so you don't have to do the math manually.
Navigation & Controls
The upper right hand side gives you several ways to customize your view.
Breakdown Menu
This is your main tool for controlling detail levels:
Summary (default): Shows only major categories (Revenue, Expenses, Assets, etc.)
Accounts: Shows all your individual QuickBooks accounts
Classes: Shows all of your QuickBooks classes underneath your Summary Accounts (Income Statement Only)
Detailed Classes: Shows all of your Quickbooks classes underneath all of your Income Statement accounts.
Organization: For consolidated organizations, you can see your Organization breakdowns under your accounts for each Financial Statement.
Please note that Class Level breakdowns are only available if you have Classes configured in QuickBooks
Actions Menu
Reset Dates: Go back to the default date range (last 12 months)
Show/Hide Decimals: Toggle decimal places on/off
Exclude Zero Values: Hide accounts with $0 to clean up your view
Export Financials: Export your current in-view Financial Statement to Excel or the Kordis Spreadsheet (coming soon).
Date Controls
Date Picker: Choose your date range
Time Intervals: View by Week, Month, Quarter, Year, or Total
Master Tab
The Master tab is your default view when you enter into the Financial Statements module. The tab shows all of your Financial Statements in one view stacked on top of each other.
You're only able to breakdown the Master tab by Accounts or Organization (if in a consolidated organization).
Income Statement
The Income Statement shows your business performance over time - how much money came in and went out.
Summary View (Default):
Revenue
Cost of Goods Sold
Gross Profit (automatically calculated)
Expenses
Other Income/Expense (only shows if you have values here)
Net Income (your bottom line - automatically calculated)
Getting More Detail
See All Accounts: Click the Breakdown menu and select "Accounts" to see every account from your QuickBooks
Expand One Category: Use the three-dot menu next to any line item to expand just that section
Collapse Back: Click "Accounts" again to return to summary view
Class Tracking (If You Use It)
If you track departments, locations, or projects using QuickBooks Classes:
Select "Class" from the Breakdown menu
You'll see your revenue and expenses broken down by each class
This only works on the Income Statement (not Balance Sheet or Cash Flow)
Note: Your totals automatically calculate - there are no separate "Total" rows cluttering up your view.
Balance Sheet
The Balance Sheet shows what you own (assets) and what you owe (liabilities) at a specific point in time, plus your equity.
The Accounting Equation: Assets = Liabilities + Equity Everything on your balance sheet fits into one of these three categories.
Balance Sheet Hierarchy
Assets:
Accounts Receivable
Bank
Other Current Assets
Other Assets
Fixed Assets
Liabilities:
Accounts Payable
Other Current Liabilities
Credit Cards
Long-term Debt
Equity:
Owner's equity accounts
Retained earnings (automatically calculated)
Using the Controls
Use the same Breakdown menu as the Income Statement to see account details
If using a Consolidated Organization, you can breakdown Balance Sheet accounts by organization.
Note: Class breakdown is not available for the Balance Sheet (this is an accounting standard)
Cash Flow Statement
The Cash Flow Statement tracks how cash actually moved through your business - this is different from profit because of timing differences between when you record revenue/expenses and when cash changes hands.
We use custom logic to build your Cash Flow Statement so it may not directly matching with your accounting software provider. More details below.
Cash Flow Statement Hierarchy
Net Income (from your Income Statement)
Cash Add Backs
We automatically detect Depreciation and Amortization accounts from your QuickBooks entity and add them to the Cash Add Backs section.
You also have the ability to add Income Statement accounts into the Cash Add Backs section using the "+" sign next to Cash Add Backs. Once the menu is open you can scroll through the Current Cash Accounts on the left hand side and hit the "+" icon to add them to the Non Cash Accounts on the right hand side. Once you hit Confirm the Cash Add Backs Total will update to factor in the new accounts. You can also remove accounts from the Non Cash Accounts by hitting the "x" next to the account.
Please note you are only able to update Income Statement accounts in the Cash Add Backs configuration. Balance Sheet accounts are not available for reconfiguration. We automatically exclude QuickBooks Balance Sheet accounts that have the subtype 'Accumulated Depreciation' and 'Accumulated Amortization'.
Operating Activities:
Changes in Accounts Receivable
Changes in Accounts Payable
Changes in Other Current Assets
Changes in Other Current Liabilities
Changes in Credit
Investing Activities:
Changes in Fixed Assets
Changes in Other Assets
Financing Activities:
Changes in Long Term Liabilities
Changes in Equity
Net Change in Cash and Beginning/Ending Cash Balance:
Net Change in Cash is the total change from Net Income, Cash Add Backs, Operating Activities, Investing Activities, and Financing Activities.
Beginning Cash Balance at the start of the toggled period. This is pulled directly from the previous period's Balance Sheet Bank account value. So if your Bank Balance on the Balance Sheet was $200K for July 2024 then your Beginning Cash Balance for August 2024 will be $200K
Ending Cash Balance at the end of the toggled period. Your Ending Cash Balance is your Net Change in Cash +/- your Beginning Cash Balance
Cash Not Reconciling
If your Ending Cash Balance does not reconcile with your Bank balance found on your Balance Sheet we will show a warning symbol and highlight the periods that are not reconciling (per the below).
Common reasons why your Ending Cash Balance might not match to your Bank balance are:
You have non-cash accounts listed under cash accounts in QuickBooks. You can override this in Kordis via the Cash Add Backs settings.
You haven't reconciled your bank balance for previous periods in QuickBooks.
Misclassified or Missing Transactions in Quickbooks.
Outdated sync in Kordis. If you've made changes to your QuickBooks in the last 24 hours our data may not reflect that. Head over to the Integrations page and manually re-sync the QuickBooks data.
Important: Configure Cash Add-Backs/Non-Cash Accounts
Mentioned this in the above but deserves its own section. The Cash Flow Statement includes a section for Cash Add Back items like Depreciation. If your Ending Cash doesn't match what's in your Bank accounts on the Balance Sheet, you may need to configure additional non-cash items. Typically this happens as a result of somebody mis-categorizing an account or transaction under a Cash Account such as Accounts Payable in QuickBooks.
Locate the "+" icon next to Cash Add Backs in the Cash Flow Statement
Use the "+" icon to move an account to the Non-Cash side.
Hit Confirm.
Alternatively you could remove accounts from the Non-Cash Accounts section by hitting the "x" next to the account.
Transaction Drilldown
Transaction Drilldown enables users to see a period's underlying transactions on the Income Statement and Balance Sheet. Simply double click on a value and the transaction pane should appear.
Please note: Transaction Drilldown is not available for select calculated accounts such as Net Income or Gross Profit. It is also unavailable for the Cash Flow Statement.
Need Help?
If you have questions about interpreting your financial statements or need assistance with the module, please contact our support team via the chat or email support@kordis.io