Question

What type of Analysis function do you use to perform your tracking and have so seem an decrease or increase in costs over the years?

Answer 1

We all know expenses have a way of adding up, and although your business bank account is a good resource for determining your total spend, categorizing business expenses is also very helpful. This is because categorizing your expenses will later help you determine exactly where you are spending your money.
You can get as micro as you need, but business expense categories should include:

Advertising Expenses
Business Vehicle(s)
Payroll
Employee Benefits
Meals & Entertainment Expenses
Office Expenses
Office Supplies

After you establish how you will record your income and expenses, you must keep track of expenses on a regular basis. Tracking your expenses allows you to monitor the growth of your business, build financial statements keep track of deductibles, and prepare tax returns.
From the start of your small business, you should organize receipts (eg.vehicle-related expenses) and other important records.
Keep receipts for any business-related purchases that you, or your employees, make. Simplify the process by sticking to the same business credit card or bank account for purchases.
Understand which expenses are considered tax deductible. Some common tax deductible expenses include phone, transportation, or entertainment expenses. Consult an accountant or professional to determine which of your expenses are tax deductible.