Book Image

Efficient Accounting with Xero

By : Jay Kimelman
Book Image

Efficient Accounting with Xero

By: Jay Kimelman

Overview of this book

Xero empowers business owners to gain insights into their business and performance and collaborate seamlessly with their accountants and tax professionals. This book goes beyond the basics and explores the more advanced Xero features, techniques, and best practices for managing sales taxes, budgeting, and reporting. You’ll begin by diving right into Xero, setting up a bank feed, and exploring its power while experiencing just how easy it is to use. The book will guide you in setting up Xero the right way to ensure that you succeed in each of your transactions. As you progress through the chapters, you’ll learn what spend money and receive money transactions are and be able to easily send invoices and collect receivables or payments, collect and pay bills, and even track your business assets with Xero. Toward the end, you’ll be proficient at producing powerful reports, giving you the keys to running or advising any business. By the end of this Xero book, you’ll have gained the confidence to add a company to Xero, set up the bank feeds, reconcile the transactions, send invoices, and pay bills, ending up with beautiful financial statements.
Table of Contents (27 chapters)
1
Part 1: Hitting the Ground Running
7
Part 2: Handling the Day-to-Day Processes
12
Part 3: Closing Out the Accounting Period
16
Part 4: Reporting – Knowing About the Performance of Your Business (KPIs)
18
Chapter 14: Business Analytics with Business Snapshot and Short-Term Cash Flow
20
Part 5: For the Advisor

Adding assets to Xero

You can add a new asset to Xero by clicking the + New Asset button from the main Fixed assets menu. I can probably say with 100% certainty that you have recorded the asset purchase either through a spend money or a purchase bill transaction. If you record those transactions to an asset account that was previously set up in Asset Type, the base details are set up for a new asset in Draft, as shown in Figure 10.6:

Figure 10.6: Draft fixed assets screen

Figure 10.6: Draft fixed assets screen

Let’s jump into one of the assets, FA-0006, and complete the asset addition. The basic information from the original transaction is filled in for you. You should update that information with the correct details. If you need more information, you can access the original Xero entry by clicking on the See original transaction link just below the Options button. This will take you to the original transactions, where you can see a receipt or invoice with details of the transaction that...