Would have to say here that QBO blows Xero away in terms of reporting and reconciliation reporting.

I am a heavy XERO user and it's a great platform for general booking and accounting - it also has the best App Store.

However, the biggest drawback with Xero Projects is that its impossible to find unassigned transactions. There is no way to run a report to track down errant expenses and make sure they are included in the relevant project (either for P&L analysis or re-billing). This makes the Project module effectively unusable if re-billing of expenses is a key part of the business model.

QBO at least has the ability to run a transaction report and easily ID (and then assign) transactions that haven't previously been assigned to a project. You can save a customized report template and run it daily to easily find-and-assign all cost transactions.