Updated: Jul 14, 2021
Create an easy Info-graph to show whether a project is under a Cash cover or not.
Financial Reports are an important part of the cost reports' body. They are the place where a PM can make crucial decision about a project strategy.
What is the elements that should be included in a financial report?
Simply, a financial report must highlight the facts which tell whether a project shall be under a cash balance to fill the ongoing tasks or should a PM to adopt other solutions. However, a healthy financial report must include at least the followings,
1- A current status whether the project is under a cash cover or a shortage
2- Cash-in Vs Cash-Out histograms and Accumulated curves
3- the financial status of each work packages (cash-in / cash-out) status
4- prediction to the cash-flow of the upcoming months
5- a breakdown for spending (Material, Labors, and indirect cost)
6- a breakdown for the income (progress payment, cost of material, and advanced payments)
7- Advanced Payment recovery status.
this financial report is made to fit a common construction contract; however, there may be several method that shape the outputs of such reports depending on the type of the contract.