1. Formula Linkbase Tutorial
David vun Kannon
Phillip Engel
KPMG LLP

2. Organization of the Tutorial
Morning
Background and Motivation
Afternoon
Details of the current draft
Implementation experience

3. Background XBRL 1.0 XBRL 2.0 Links inside schema
“rollup” element tried to capture definition, calculation and presentation data
XBRL 2.0
External linkbases
Separate linkbases for different purposes
Allow override and extension

4. A brief history XBRL core specification Formula linkbase
Version 1.0 – July, 2000
Initial talks about rules and formulas – late 2001
Version 2.0 – December, 2001
Early prototype – Early 2002
Formula linkbase Spec – August, 2002
Rulebase – October, 2002
Version 2.0a – November, 2002
FDIC Call Report Project Phase I – Early 2003
Version 2.1 – December, 2003
Formula linkbase Spec– April, 2004
New formula examples – October, 2004

5. Motivation Why are taxonomies important?
Why are external linkbases important?
What kinds of linkbases are there?
What are the failings of current linkbases?

6. Taxonomies Metadata exchange standard Definition of concepts
Relationships among concepts
Metadata definitions
Reference parts, scenario, segment
Roles and arc roles

7. External Linkbases
Extensible metadata
3rd party linking

8. Kinds of linkbases Resource linkbases Relationship linkbases
Label linkbase
Reference linkbase
Relationship linkbases
Definition linkbase
Presentation linkbase
Calculation linkbase

9. Failings Calculation linkbase is… Not cross context Summation only
Cannot create values
Limited to concepts

10. How to extend XBRL New roles and arc roles, data types, etc.
New modules
New schemas?

11. New roles and arc roles Calculation linkbase enhancements Product
Average
Min
Max
Sum
Count

12. New Modules
New kinds of linkbases
New kinds of Taxonomies

13. New schemas?
Shouldn’t be controversial
but they are!
GL?

14. OTSOG
“If I have seen so far, it is because I have been standing on the shoulders of giants” Sir Isaac Newton

15. XBRL OTSOG W3C
XML Schema
XML Namespaces
XML Link
XML Base
XPath

16. The Extension Process Requirements Document Modular Specification
Processing model
Conformance Suite
Two implementations
Approval and publication

17. Formula Linkbase Requirements
Business driver
What problem are we trying to solve?
Technology requirements
How to leverage XBRL as it is commonly understood
Process driver
Move forward in an orderly way that enhances 2.1 without destabilizing it.

18. Business Drivers Metadata exchange about analytics.
Regulator to industry
Self-check
Analyst to client
Earnings models
“open source” analytics

19. Technology Drivers Using Taxonomies Using a Conformance Suite
Using schemas
Using linkbases
Using a Conformance Suite
Using the Infosets

20. Process Drivers Ensure XBRL 2.1 is viewed as adequate and stable.
Enhancement module is separate and separable.
Maintain the high quality of XBRL deliverables.

21. FL Requirements PWD Restart FL definition process using 2.1
Spring ??
Latest version In
Formula-Req-PWD doc

22. FL Requirements PWD (2) Use Cases Requirements
Rejected requirements and use cases
Important!
Topics for other extensions to XBRL

23. FL Use Cases -Business Financial ratios Validity checks
Consistency within a period
Consistency across periods
Reported vs. calculated data
Generate error messages
Generate debugging messages
Movement analysis

24. FL Use Cases - Technology
Access all aspects of items and tuples in an instance.
All parts of the context
Unit
Precision or decimal
Create all aspects of items and tuples in an instance.