He also may generate a report that indicates the total revenue generated by sales. These reports then are presented to management. From this starting point, we can add or subtract the operating activities reported on the income statement. This includes all revenues and expenses that the company incurred during the year. Close the books with less runaround. Share this sheet with your accounting team to easily manage your financial month end process and keep everyone on schedule. Use the sheet for monthly, quarterly, and annual tasks. Deposits consist of any revenue generated by the small business. The firm’s debits include any expenditures, such as rent, payroll and advertising costs, as well as incidental purchases, such as office supplies. The annual financial statement form is prepared once a year and cover a 12-month period of financial performance. Generally, these statements are issued at the end of a company’s fiscal year instead of a calendar year.