Budgets & ratio analysis

Two reports let you read your books like an analyst: standard financial ratios (profitability, liquidity, leverage, efficiency) and a budget-vs-actual comparison with variance. Both compute live from your double-entry books — current the moment you open them.

The ratios Finocket computes

Open Reports → Ratio analysis, pick a date range, and Finocket works out the standard ratios accountants use, grouped into:

• Profitability — net profit margin, return on equity, return on assets.
• Liquidity — current ratio and quick ratio (can you cover what you owe?).
• Leverage — debt-to-equity and debt ratio.
• Efficiency — expense ratio and asset turnover.

Each ratio shows its value and the formula behind it, so nothing is a black box — and reads NA when there isn't enough data to compute (for example, a ratio that would divide by zero). No spreadsheet gymnastics; the inputs come from your trial balance.

Budgets and variance

Open Reports → Budgets & variance to set a budget — for the whole business, a specific ledger account, or an expense category — for a month or a year. Finocket then compares budget to actual from your books and shows the variance, flagging where you're over or under. Set a fuel budget per month, a marketing budget for the year, or an overall spend ceiling, and check the screen before committing to new spending.

Access & control

Owners and assistants set budgets; an invited accountant reads both reports read-only — the ratio sheet is a natural page for your CA's quarterly review. Both live under Reports with your core books; no separate module.