1. XBRL: The Basics Symposium on Information Systems Assurance
Integrity, Privacy, Security & Trust in an IT Context
October 20-22, 2005
Glen L. Gray, PhD CPA
Department of Accounting & Information Systems
California State University Northridge

2. Nerd Alert!!

3. Overview Pre-XBRL history The basic problems
What is XBRL and how does it work

4. A Brief History 1969: Al Gore invents the Internet
1994: Commercialization of the Internet
1999: FASB and IASC each publish reports on financial reporting on the Internet
Most large companies are including financial reporting information on their Web sites
No consistency in terms of content, format, and navigation
Probably violating reporting regulations! (Still true?)
Boundary problems (In or out of financials?)
Automated searches almost impossible
October 1999: First XBRL meeting with 13 members
2005: The XBRL consortium has over 350 members—and still growing

5. Income Statement (Audited)
The Basic Problem
GrayCo
Income Statement (Audited)
Year ended Dec 31, 2004
(millions)
2004
2003
Sales
$ 145
$ 132
Cost of Goods Sold
101 92
Gross Profit 44 40
Sales, general, and administrative 10 8
Net Income
$ 34
$ 32

6. The Basic Problem
Electronic business and financial information is usually transmitted in human readable form (e.g., SEC filings: 10-Ks, 10-Qs, etc.)
Analysts spend 80% of their time extracting and preparing data for subsequent analysis
Would need a very intelligent AI parser to automate data extraction
But ad hoc reporting would baffle parser

7. A Potential Solution
Tag every piece of data (XML, not XBRL yet) <CostOfGoodsSold currency=“USD” FiscalYear=“2004” scenario=“audited”> </ CostOfGoodsSold >
Intelligence built into data (parsing is easy)
Map once, use many
For analysis
For different reporting requirements
For different formatting requirements
Free lunch?
Bigger files
Tags pose security risk

8. Property, Plant and Equipment
A Remaining Problem
Company
Property, Plant and Equipment
Sales
Cost of Goods Sold
Staples
Total property and equipment
Cost of goods sold and occupancy costs
ExxonMobil
Property, plant, and equipment, at cost, less accumulated depreciation and depletion
Total revenue and other income
Crude oil and product purchases
Intel
Property, plant and equipment, net
Net revenue
Cost of sales
Amazon.com
Fixed assets, net
Net sales
IBM
Plant, rental machines and other property
Total revenue
Total cost
Wal-Mart
Property and equipment, net

9. Income Statement (Audited)
Some XBRL Terms
GrayCo
Income Statement (Audited)
Year ended Dec 31, 2004
(millions)
Scenario
Context
Label
Attribute
2004
2003
Sales
$ 145
$ 132
Cost of Goods Sold
101 92
Gross Profit 44 40
Sales, general, and administrative 10 8
Net Income
$ 34
$ 32
Value

10. What is XBRL
XBRL stands for the eXtensible Business Reporting Language.
Uses XML technology
XBRL consists of “tags” that correspond to the concepts and information included in financial reports such as balance sheets and income statements.
XBRL can be thought of as a “Bar Code” system for financial information, allowing financial statements to be read and understood by a computer.

11. How does it work XBRL Specification (Published by XBRL International)
Taxonomies
Extension Taxonomies
Instance Documents

12. Taxonomies
A Taxonomy is a dictionary of financial reporting terms or concepts
Separate Taxonomies – also referred to as “Core” or “Building Block” taxonomies are developed for different reporting purposes such as US GAAP, IFRS, bank regulatory reporting. etc
The concepts captured in a taxonomy are referred to as ELEMENTS. These Elements form the core of XBRL.

13. Anatomy of an XBRL Element
Financial Reporting Concept
Notes:

14. Anatomy of an XBRL Element
Basic Attributes
XBRL
Element
Relationships
To other Elements & Information
Notes:

15. Anatomy of an XBRL Element
Label
e.g. - “Goodwill”
Name
(i.e. XBRL “Tag”)
IntangibleAssetsGoodwill
Basic Attributes
“Amount paid in excess of the value assigned to the identifiable net assets acquired”.
Description
Data type
Monetary / String, etc.
Notes:
Balance Type
Debit / Credit
Period type
Instant / Duration

16. Anatomy of an XBRL Element
Publisher : FASB
Name : Statement of Financial Accounting Stand.
Number : 142
Paragraph : 23
URI :
URIDate :
Reference
Relationships
To other Elements & Information
Assets
Cash & cash equivalents
Property plant & equipment
Goodwill
Total Assets
Presentation
Notes:
Calculation
Net Goodwill =
Goodwill – Accumulated Amortization

17. Current Taxonomies @ XBRL.ORG
COUNTRY / JURISDICTION
TAXONOMY
SPECIFICATION
LEVEL
STATUS
Canada
GAAP Primary Financial Statements
2.1
Ack
Draft
Germany
AP Commercial and Industrial
2.0
Final
IASB
IFRS General Purpose, 2004 rules
IFRS General Purpose, 2003 rules
Korea
New Zealand 
GAAP Commercial and Industrial
United Kingdom
United States
GAAP – Commercial and Industrial
App
GAAP – Banking and Savings
GAAP – Insurance
    
SEC Certification
Management Report
Accountants Report
MD&A
   
GAAP – Investment Management

18. U.S. Financial Reporting Taxonomy Framework

19. Extension Taxonomies
Extension Taxonomies allow a company to create and customize concepts and elements for their particular reporting practices.
Extension taxonomies import then build on, or “extend” the Core or Building Block taxonomy.
They allow for the addition of entity specific elements and the customization of element relationships.

20. Taxonomies and Extensions can be thought of as the building blocks for XBRL reporting
First Raleigh Bank
Terms
Company Specific Terms
US GAAP
Bank
Terms
Industry Terms
US GAAP FS
Terms
US GAAP
Primary
Terms
Foundation terms

21. Closer Look at Taxonomies

22. Even Closer Look at Taxonomies

23. Instance Documents An Instance Document is your XBRL financial report
Instance Documents will include
Values (ex. numbers, blocks of text etc)
Tags to identify the values
Taxonomy references – Telling you where the tags are defined
Context – Information describing the reporting entity and period
Units/Measure – Information on unit of measure, currency etc.

24. Anatomy of a Instance Document
Ex.. –Company Extension , USFR Commercial and Industrial
Import Taxonomy
“Basics”
<usfr-pt:CostGoodsServicesSold precision="INF" contextRef="Qtr_Dur_063004" unitRef="USD">
</usfr-pt:CostGoodsServicesSold >
Tags
Notes:
Values
$1,500,000

25. Anatomy of an Instance Document
UNIT ID
USD
Measure
Currency: USD, EUR, Shares
Instant: As of 12/31/04
Start/End: 1/31/03 – 12/31/04
Period
Contexts
Segment
Financial Printing, Outsourcing etc.
Audited, Pro-forma, Restated
Scenario
Notes:
Footnotes
(2) In 2003, gain on sale of building of $2.7 million, net of taxes of $0.9 million.

26. Company Financial Statement
XBRL Taxonomy Created by XBRL Consortium
TAGGING
XBRL Creation
XBRL Document Created by Preparer
AT 101 Assurance
Consumed
Rendered

27. Marking Up Data
Tagging financial statements is as simple as selecting a value from a task pane and dragging and dropping them onto the Word/ Excel data to be tagged.

28. Across data definitions Across file formats
The Answer - XBRL GL
Across language
Across data definitions
Across file formats
XBRL GL
System 1
XBRL GL
System 2
XBRL GL
System 3
Account#
Description
Amount
PostDate
Account Number
Account Description
Entry Amount
Posting Date
Identificador de la Cuenta
Descripción Principal de la Cuenta
Monto Monetario
Fecha de Asignación/Ingreso
accountMainID
accountMainDescription
amount
postingDate
accountMainID
accountMainDescription
amount
postingDate
accountMainID
accountMainDescription
amount
postingDate