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enter image description here i need to create simple report based on single custom object

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Use a Matrix format report - click on 'Tabular' and select 'Matrix

Drop Year and Quarter into column heading groupings.

Drop 'Direct or Indirect' and Status into column heading groupings.

Then you can show record count in the body of the report.

Click the 'Hide Details' button to make it look neater.

https://help.salesforce.com/HTViewHelpDoc?id=reports_changing_format.htm

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