Advanced Accounting Information Systems Day 34 XBRL Instance Documents and Taxonomies November 13, 2009

Announcements –Second XBRL assignment due 11/13 –Third XBRL assignment due 11/30 –SEC Charges Maddox Computer ProgrammersSEC Charges Maddox Computer Programmers

Objectives Understand how XBRL instance documents and XBRL taxonomies work and their role in reporting financial and business operations information

Question for today What items do you need to consider when creating a taxonomy extension?

XBRL instance documents Each one is an instance of a class of documents described in the XBRL Specification XBRL Specification –Includes a schema which defines the structure of all XBRL instance documents and schemas defining XBRL taxonomies which can be thought of as dictionaries defining elements to be used in XBRL instance documents

Rules for Valid XBRL Instance Documents Two major parts of XBRL Specifications 2.1 –Rules for XBRL instance documents Instance documents – computer-readable files in a prescribed format that carry data items tagged with predefined elements representing accounting and financial reporting concepts –Guidelines for XBRL taxonomies Each taxonomy contains schema defining elements for a particular reporting purpose (CI under USGAAP) written in the XML Schema language (referred to as a taxonomy schema), and linkbases defining relationships between elements written in the Xlink language Must follow all rules for XML documents as well as rules for XBRL instance documents

Example – 28,909, 000 in accounts receivable ‘accounts receivable’ – financial reporting concept defined in an XBRL taxonomy schema as a monetary item with the name ‘Accounts Receivable’. Simple example >/AccountsReceivable> Complex example –Add attributes (add meaning to element in order to be able to fully interpret the meaning of the data item it contains) indicating What entity is doing the reporting What period of time is involved What currency it is in What precision applies What taxonomy is this concept defined in

XBRL instance documents Facts being reported by –Specific entity –For a specific time period –In a specific currency if monetary items are being reported Each fact is surrounded with context information expressed according to the rules for valid XBRL instance documents See figure 4.1 –Bold – required XBRL element –Underlined italics – information to be input for a specific reporting instance Practice – identify –Root element (name reflects contents and purpose of the document) Contains all the necessary XBRL and XML namespace declarations to be used to support the document –Namespace declaration (unique URI) Xmlns:us-gaap=“

Practice In Notepad, enter xbrl root element and two namespace declarations in a new file gaap/ http:// Namespace prefix - xbrli

Two more namespace declarations in most XBRL instance documents Link=“ –Namespace which defines XBRL linkbases Xlink=“ –Namespace in which the XML Xlink language is defined

Practice In Notepad, add link and xlink namespace definitions to your file. Link=“ Xlink=“

schemaRef element Required to appear as the first child element of the xbrl root element Used to ‘link’ an XBRL taxonomy schema to an instance document and is defined in the XBRL link namespace Always has two attributes defined in the xML xlink namespace: –Xlink:type = “simple” –Xlink:href=“URL of an XBRL taxonomy schema” Empty element (i.e., it has attributes but does not have a data value or other elements nested within it)

Practice In Notepad, add link:schemaRef element as the first child of the root element gaap-std xsd

Context element Defined in the xbrli namespace Purpose is to establish the ‘reporting context’ of the XBRL instance document by identifying the entity doing the reporting and the instant or duration of time that applies to the data items reported At least one is required in every xbrl instance document Can appear anywhere in the document; common practice to place the xbrli:context element(s) immediately after the link:schemaRef element Must have id attribute that is unique in the instance document since it is used for reference purposes –Must start with a letter NOT a number Always contains an entity element and a period element –Both are defined in xbrli namespace

practice Add beginning xbrli:context element and xbrli:entity element

Xbrli:period element Always starts with and contains either –Xbrli:instance –Xbrli:startDate and xbrli:endDate element combination –yyyy-mm-dd

practice Add beginning xbrli:period element with its nested xbrli:instance element and finish the xbrli:context element by adding its ending tag Write a complete xbrli:context element to report income statement items for January to June –Use unique xbrli:context id –Xbrli:entity identifier

Xbrli:segment element Optional xbrli:entity element –Used to report business segment information such as operating activities of a division of a business –xbrli:segment Always appears nested with the xbrli:entity element after the xbrli:identifier element

Unit element Always starts with and contains either –Xbrli:instance –Xbrli:startDate and xbrli:endDate element combination –Yyyy-mm-dd

practice Add xbrli:unit element after your xbrli:context element Unit can be id = “shares” such as – – xbril:shares – Xbrli:divide –Contains unitNumerator and unitDenominator

XBRL items Last element REQUIRED in an XBRL instance document is at least one XBRL item ‘fact’ reported in an XBRl instance document by an entity for a specific period of time

practice Open US GAAP taxonomy viewer and type accrued liabilites Properties window –Element’s predefined name –Namesapce in which it is defined ( –Monetary item –Balance Open your instance document and enter after the xbrli:unit element: </us- gaap:AccruedLiabilities Add element for current assets

The Rules for Valid XBRL Instance Documents Root element and its namespace declarations schemaRef element –Required to appear as the first child element of the xbrl root element –Used to ’link’ an XBRL taxonomy schema to an instance document and is defined in the XBRL link namespace Context element Unit element

The Rules for Valid XBRL Instance Documents Must be at least one XBRL item –Access appropriate taxonomy for the entity reporting the financial information a –Locate appropriate element name representing each accounting/financial reporting concept –Input item with the appropriate contextRef, unitRef, and decimals attributes that apply and the value to be reported

Understanding US GAAP Taxonomies v1.0 –Contains over 12,000 XBRL elements –Physically, one large file –Logically, divide into US GAAP vs non- GAAP taxonomies US GAAP –Banking and savings institutions –Brokers and dealers –Commercial and industrial –Insurance –Real estate

Understanding US GAAP Taxonomies v1.0 Non GAAP taxonomies –Document and entity information (contact names and addresses, legal entity names, etc.) –Report taxonomies »Accountant’s report »Management report on internal controls »Management discussion and analysis »SEC officers’ certifications

XBRL Taxonomies –Schemas that define elements representing financial reporting concepts –Linkbases that define relationships between financial reporting concepts Written in Xlink language –Labels –Calculation –Presentation –Authoritative references –Dimensions

Dimension Example See Figure 4.10 Practice – subscription arrangement (member)

Extension Taxonomies –Add to the standard publicly available taxonomies –Extensions since the ‘add to’ the standard, publicly available taxonomies –Some extensions may create comparability and reuse issues while others will not

Extension Taxonomy Rules –Use elements from XBRL US GAAP taxonomy whenever possible –If you have a commonly reported item, such as ‘cash and cash equivalents’, use the element defined in the US GAAP taxonomy even if the element name and/or standard label are not exactly what you like You may change the ‘preferred’ label when rendering the information –If you do not find an element where you would expect to find it in the US GAAP taxonomy, look for it in the appropriate disclosure section –When dimensional reporting is called for, use the existing predefined dimensions whenever possible –When an entity creates an extension taxonomy, it should be named properly and its taxonomy schema should be referenced in the link:schemaRef element in the instance document that it supports

Summary –Root element is xbrl –First child element is a link:schemaRef element that has two attributes: xlink:type=“simple” xlink:href=“the URS of a taxonomy schema” –Must have at least one xbrli:context element containing xbrli:entity and xbrli:period elements Xbrli:segment is optional –If numeric items are being reporting, it must contain xbrli:unit element with appropriate measure element –Must have at least one item – name of item must be defined as an element in one of the taxonomy schemas identified in a link:schemaRef element. Item must also have contextRef attribute and if it is numeric, unitRef and decimals attribute

Glossary of New Terms Context element Entity element Extension taxonomies Id attribute Identifier element Instance document Linkbases Measure element Period element schemaRef element Scheme attribute Segment element Taxonomy schema Unit element XBRL instance documents XBRL taxonomies XBRL item

Questions for Monday What is the purpose of Extensible Stylesheet Language for Transformations (XSLT)?