Designing Starbuilder Custom Financials Brian Bixby Bixby Consulting Services, Inc.

OBJECTIVES Review the design of customized Financials Statements Discuss Parameter Review report and actual set up Understand column selections for financials Learn how to create financial statement budgets

PREREQUISITES The following procedures and records are recommended:  Printed General Ledger Chart of Accounts.  Printed Trial Balance Report (Period and Year-To-Date)  Printed Financial Statement Parameter Review reports  Create a worksheet for initial design

OPTIONS OPTIONS available for producing financials statements:  Auto Generate Parameters: This option allows you to automatically generate the parameters for the Balance Sheet and Profit and Loss Statements. Standard Financial Statements will be generated based on the chart of accounts and control types.  Auto Generate the standard financial statements, then use Add/Modify Parameters to modify the standard statements.  Create customized financial statements using the Add/Modify parameters option.

AUTO REGENERATE AND CHART OF ACCOUNTS  Chart of Accounts – modifications to chart of accounts will cause the following informational error to appear : 

CONCEPTS There are three types of lines or concepts used in the financial statement parameters:  HEADERS – Used to print long description lines on financial statements.  DETAIL – These lines have the chart of account number referenced (ACCT SEL) and will show the dollar amount for the account number. You can have 1 or more account numbers referenced on a detail line. The detail line also has the TOTL SEL which is the total line number that the detail line will add into. Budgets can be added to detail lines.  TOTAL – Used to provide a place to add detail lines and show totals. Total lines can also add into other total lines. Budgets can be added to total lines.

STEP ONE – UP FRONT PLANNING Planning is KEY to CUSTOMIZED financial statements Decide how you want the completed financial statement to look Create the financial statement starting with totaling and work up to individual details CREATE A WORKSHEET  Use a worksheet to conceptualize and plan  Use a worksheet to layout the statement prior to input  Use a worksheet to determine subtotals and totals, details and summaries  Use Auto generated parameter review report as guideline

PARAMETER REVIEW REPORT Auto generate parameter review report  Use as a guideline  Illustrates how Standard report is created  Based on account type/control type  Use Standard system generated financial parameter review report as aide to set up and audit

PARAMETER REVIEW REPORT Parameter Review Report: Based on account type/control type “AS” - Asset Account Control Types 105Cash accounts for Payroll, General Account, savings and all other cash accounts. 110 Accounts Receivable for all construction related work. 115 Accounts Receivable for non-construction related items. This would include notes receivable, deposits, and other like accounts. 120 Retainage being held on construction billings. 125 All accounts that are set up for bad debt allowances. 130 Accounts that are established for the cost of jobs in progress under the completed contract method of accounting. 140 Accounts established for the posting of earned revenue under- billings amounts under the percentage of completion basis of accounting.

PARAMETER REVIEW REPORT Parameter review report

PARAMETER REVIEW REPORT Parameter Review Report

WORKSHEET

TOTALING BALANCE SHEET TOTAL ASSETS TOTAL LIABILITIES TOTAL EQUITY TOTAL LIABILITIES AND EQUITY TRIAL BALANCE 03/31/ CASH-GENERAL \ 102 CASH-PAYROLL \ CASH & EQV. 105 PETTY CASH / 110 ACCTS REC \ 115 AR RET / CURRENT A/R 120 NOTES REC \ TOT. 125 OTHER REC / OTHER A/R CUR. 130 EMPLY LOANS ASSETS 132 RESERVE BAD DEBT 135 PREPAID EXPENSES 140 MATERIAL INV 150 LAND 155 AUTO & TRUCKS 160 MACH & EQUIP 161 ACC.DEP-MACH/EQUIP

SUMMARY VERSUS DETAILS BALANCE SHEET DETAILS: SUMMARY VERSUS DETAILS LINE ITEM DETAILS OR SINGLE LINE TOTAL TRIAL BALANCE 01/31/ CASH-GENERAL 102 CASH-PAYROLL 105 PETTY CASH TOTAL CASH OR CASH REFLECT SINGLE LINE AMOUNT FOR ALL CASH ACCOUNTS COMBINED

LINE NUMBERING BALANCE SHEET or INCOME STATEMENT ESTABLISH LINE NUMBERS  Line numbering  Balance Sheet =  Income Statement = –  LEAVE ROOM FOR “GROWTH”  LINE NUMBERING  MUST ENTER ALL APPROPRIATE ZEROS  LIMITS

PARAMETERS ADD/CHANGE BALANCE SHEET OR INCOME STATEMENT TOTALS  ADD OR SUBTRACT  DEBIT OR CREDIT DETAIL LINES  EVERYTHING IS “POSITIVE”  SYSTEM TAKES NATURAL SIGN AND CONVERTS  TO A POSITIVE FIGURE  TOTAL LINES PLUS OR MINUS

ADD/MODIFY PARAMETERS Select TYPE – Balance Sheet or Income Statement Select FORMAT – Single Company or Consolidated Line Details:  Select the line number you desire, hit tab key and the description will display and the action button will light up. Select the line type:  Header  Detail  Total

ADD/MODIFY PARAMETERS

Additional Parameters  Left margin – header lines only  Start this line on a new page  Skip lines – cosmetic spacing  Divide by – total lines only – Percentage of

ADD/MODIFY PARAMETERS

ADD/MODIFY PARAMETERS - DETAILS Accounts Detail – enter account(s) for this line. Summary presentation – multiple account numbers Account Details: Account Number  CREDIT OR DEBIT  Add or Subtract

ADD/MODIFY PARAMETERS - DETAILS

ADD/MODIFY PARAMETER - DETAILS

ADD/MODIFY PARAMETERS – TOTALS Each detail screen requires Total Lines Detail Total Lines Detail  CREDIT OR DEBIT  Add or Subtract

TOTAL LINES DETAIL

ADDING LINES TO EXISTING STATEMENT You can add additional lines to an existing financial statement Create line number between two lines already created  Type in a new line number  Finish filling in the related information on Add/Modify screen and then click “Add”  Add Total Line  Add Account(s) Detail  Exit

PRINTING FINANCIAL STATEMENTS Inquiries and Reports - Print Financial Statements Select type of financial  Balance Sheet  Income Statement – Monthly  Income Statement – YTD  Ratio Analysis  Source and Use Analysis Select Print Standard Columns or Create your own Columns Print All Lines Parameter Review Report Multiple Financial Statements

PRINTING FINANCIAL STATEMENTS

Action Codes  A = TIME FRAME  B = CURRENT BUDGET  C = MONTHLY TRANSACTIONS  D = PERCENT OF  E = VARIANCE DOLLARS  F = VARIANCE PERCENT  G = BLANK TIMES: ONE through FOUR (Up to 4 time periods) COL1 and COL 2  D Percent of  E Variance Dollars  F Variance Percent

PRINT FINANCIAL STATEMENTS

NON-STANDARD COLUMNS Identify Col1 and Col2  Action Code D Percent of – Col1 divided by Col2  Action Code E Variance Dollars – Col2 less Col 1  Action Code F – Variance % - Col2 less Col1 divided by Col2

PRINT FINANCIAL STATEMENTS

MORE CUSTOMIZED DIVISIONALIZED OR DEPARTMENTALIZED FINANCIAL STATEMENTS CONSOLIDATED FINANCIAL STATEMENTS –Activate Company number field

BUDGETING Budget Details  No Budget  Monthly Budget  % Budget  Annual Budget Budget Details screen  Select budget type  Hit Details Budget screen dependent upon budget selection  Monthly – month by month input – amount or percent  % - Enter desired % (not allowed for total lines) Percent of line or Percent of amount  Annual – Amount entered will be divided by 12

BUDGETING

EXPORT Export to Excel Export to PDF file Print to Screen then select Export icon

EXPORT Export to Excel Export to PDF file Select Export type

FINANCIAL RATIO REPORT The Print Financial Statements: ·Balance Sheet ·Profit & Loss - Monthly ·Profit & Loss - YTD ·Ratio Analysis ·Source & Use Analysis

FINANCIAL RATIO REPORT

Current Ratio: Current Assets (control types 100 to 154) divided by Current Liabilities (control types 200 to 259) Acid Test: Cash + Accounts Receivable (control types 100 to 114) divided by Current Liabilities (control types 200 to 259) Working Capital: Current Assets (control types 100 to 154) minus Current Liabilities (control types 200 to 259) Fixed Asset Newness: Net Book Value of Fixed Assets (control types (160 to 164) less (165 to 169)) divided by Fixed Asset Cost Basis (control types 160 to 164) Current Assets to Total Assets: Current Assets (control types 100 to 154) divided by Total Assets (control types 100 to 199) Total Liabilities to Net Worth: Total Liabilities (control types 200 to 299) divided by Net Worth (control types 300 to Net Profit ((400 to 499) – (500 to 599)) FINANCIAL RATIO REPORT

The Source And Use Analysis report provides you with a review of significant changes that have occurred in your financial position during a selected time period. The analysis is based on a comparison of balance sheets at the beginning and end of the accounting period. Increases and decreases are arranged to present the sources and uses of funds during the time period. SOURCE AND USE ANALYSIS REPORT

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