| |
5. Financial Reporting Structures
1) Concept
2) Create a Financial Report
3) Adding lines
4) GAAP XBRL Tree elements
Goto Top
5.1 Concept
Financial Reporting Structures need to meet the financial and management reporting requirements of the organisation. These range from internally defined management reports to external financial reports for statutory bodies like Companies House, Inland Revenue, Pension Authorities, etc. and these should comply with the latest legal requirements, Accounting Standards and Statements of Recommended Practise (SORP), GAAP, etc.
Financial Reports under Acceptum are composed of 6 columns:-
- the line id.
- line narrative
- amount column 1 for current year amounts
- amount column 2 for current year amounts
- amount column 3 for comparative amounts, either prior period/year or budget comparatives
- amount column 4 for the variance between amount columns 1 and 2 compared to 3
Within Acceptum a financial reporting row can be either a:
- spacer: blank lines or section headings with text
- detail: shows the total amount for the Trial Balance Numbers/Accounts accumulated to the row; actuals appear in amount column 1
- sum 1: produces a total in amount column 2 of all preceding detail lines since the last summary
- sum 2: produces a total of all preceding Sum 1 lines since the last Sum 2 line
- sum 3: produces a total of all preceding Sum 2 lines since the last Sum 3 line; but does not reset Sum 3 total to zero
- sum 4: produces a total of all preceding Sum 2 and 3 lines since the last Sum 4 line; set all summary levels to zero
Details and summary rows produce totals for both actual and comparative data.
Consideration for the layout of a financial report are:
- what headings are needed
- how are individual reporting rows to be summated
Data reported under Financial Report Structures can be filtered on a row by row basis using Analysis 1 Report Sets. This allows a single account (like Salaries and Pensions) to be used on several rows of a report structure but only report relevant 'department' data on each occurrence. This approach avoids the need for numerous Salary accounts just to get a departmental/main function Profit & Loss report.
The best method to achieve this financial report structure is to take an existing report, and map detail lines to Trial Balance Numbers. Next, assign incrementing numbers to each row of the report and designate the row type - header/spacer, detail, summary total; and for summary totals, indicate which line items contribute to the total. Then further refine the definition of detail rows by setting the Departments/Analysis 1 codes that are to be reported on that row. A Report Set will need to be created for each set of codes required.
This may all sound very confusing - but once you have built your first report, you will find it easy to take existing reports and convert them into an Acceptum structure.
Goto Top
5.2 Create a Financial Report
Select the menu option Setup|Financial Report Structures to open the Financial Report List window.
Right click on the window and select 'Add Main Record' to insert a record. Press F3 to open the Financial Report detail window.
If opening balance amounts are to be included in the report place a tick against 'Include B/Fwds'.
The simplest method to create a financial report is to start from an existing base. Navigate using the Next/Prior features to the report to be copied, click 'Copy Structure' and enter the name of the new report. The existing reporting structure is copied to the new report.
Goto Top
5.3 Adding lines
Several blank lines can be added by repeatedly clicking 'Add Line'; they will all be added with a line number of zero. First, change the line numbers to position them within the report and enter text to narrate the line.
When adding line numbers, increment them by 10 or 20, so that if you need to return to add more lines to that section you do not have to adjust the line numbers of existing rows.
Secondly set the line Type by selecting values from the drop-down list (Spacer, Detail, Sum 1, etc.).
If you wish the sign of the amount to be reversed (multiplied by -1) place a tick against the row in the 'Sign Reversal' column. This is normally done on Balance Sheets for liability amounts and in the Profit & Loss on revenue amounts.
Having previously created Analysis 1 Reporting Sets to cover the combination of department codes, use the drop down list in the 'Anal1 Report Set' column to restrict the data that will be reported on a 'Detail' row.
When a Financial Report is used externally, set the GAAP XBRL Element; a double click on a row, inserts the currently selected element from the GAAP XBRL Tree window.
Having built the outline structure, double click a 'Detail' row to open the 'Financial Report - Trial Balance No' window.
Click 'Add' and using the drop-down list, select a T.B. No. to be accumulated on the detail row.
After adding all the trial balance numbers required for the row, close the window to return to the Financial Report window and repeat the process for all detail lines.
The text shown alongside the trial balance number is just for 'aide-memoir', it is not used by the application.
Please refer to Financial Reporting for details on running a financial report.
A Financial Report structure does not need to be complete before it can be used for reporting; so whilst developing a report, run it with actual amounts to help ensure that the structure is correct.
A quick method for adding Trial Balance numbers to a Detail report row, is to drag and drop a T.B. No. from the Trial Balance Structure List window on to the Financial Report row data grid; the currently selected Detail report row will receive the T.B. No.
Goto Top
5.4 GAAP XBRL Tree elements
Select the menu option Setup|GAAP XBRL to open the GAAP XBRL Tree window.
Select a GAAP Document form the drop-down list and click Build Tree. Then wait whilst the tree view is built. (Notes and Detailed Disclosures, take sometime to produce.)
Expand/collapse individual tree nodes by clicking the + and - symbols. Or, to expand/collapse the whole tree click Expand All/Hide All.
Elements are colour coded to ease identification of the principle factors that define the element:
Light Blue - debit monetary element
Light Pink/Red - credit monetary element
Light Brown - text or string element
Very Light Green - monetary element of undefined value
Light Yellow - decimal value element
Light Orange - date element
Light Grey - undefined element
The bottom section gives GAAP XBRL details of the currently selected document element.
Adjust the size of the top/bottom sections by dragging the solid black line up or down.
Notes:
1) The Setup|GAAP XBRL menu option accesses the Internet to validate and expand the GAAP XML files, Internet access is essential for this menu option to work correctly.
2) although Financial Report rows can be assigned a GAAP XBRL element Id.; it is currently not used. This is an area for development as the standards supporting this technology are expanded along with user experience and legal requirements.
| |