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Account Types in Consolidation
Account Types in Consolidation
Account types
There are 2 categories of accounts Balance sheet account and Profit and Loss accounts. Each
category has its corresponding account types.
Balance sheet accounts are Assets and Liabilities and Equity. The corresponding ACCTYPE are AST for
Assets and LEQ for Liabilities and Equity.
Profit and Loss accounts are Income and Expenses with corresponding ACCTYPE as INC and EXP.
The difference in them is how data is assumed to be entered in BPC and how it is extracted from it.
For Balance sheet accounts the data is always entered up to the end of a period. This means that Balance
sheet at the end of certain month will show the actual state of a company in a financial year.
For Profit and Loss accounts, data in a certain month is entered as movement. It means that data in a month
will show what a company has earned/lost only in this month.
Example
How lets have a look at all this on a sample data in BPC.
EVDESCRIPTION
PARENTH1
ACCTYPE
BALANCE
Balance
TOTAST
Assets
BALANCE
AST
AST1
Cash
TOTAST
AST
AST2
Accounts Receivable
TOTAST
AST
TOTLEQ
BALANCE
LEQ
AST
BPC ACCTYPE: what is AST, LEQ, INC and EXP? What account type sould be used?
LEQ1
TOTLEQ
LEQ
LEQ2
TOTLEQ
LEQ
Assets account is a total of Cash and Accounts Receivable, Liabilities and Equity is a total of all liabilities
and equities of a company.
A sum of the both account should be equal to zero and this should be shown at the very top Balance account.
Lets have a look at data. Lets say we are interested in data for Nov, Dec 2012 and total balance
for 2012.
2012.NOV
BALANCE
Balance
0.00
TOTAST
Assets
120.00
AST1
Cash
100.00
AST2
Accounts Recivable
20.00
TOTLEQ
LEQ1
Liabilities (e.g.
Accounts Payable)
50.00
LEQ2
70.00
2012.DEC
2012.TOTAL
A sample data is entered above for Nov 2012. The data shows that balance is 0.
The balance in November shows the state of the company by the end of Nov 2012, which means
it is not the balance only for one month (Nov 2012) but a cumulative balance of the company
for 2012 by the end of Nov 2012.
Thus, when data is entered in Dec 2012 it will show the balance Dec and the whole year.
2012.NOV
2012.DEC
2012.TOTAL
BALANCE
Balance
0.00
0.00
0.00
TOTAST
Assets
120.00
130.00
130.00
AST1
Cash
100.00
90.00
90.00
AST2
Accounts Recivable
20.00
40.00
40.00
TOTLEQ
130.00
130.00
LEQ1
Liabilities (e.g.
Accounts Payable)
50.00
70.00
70.00
LEQ2
70.00
60.00
60.00
Please have a look at 2012.Total which equals to 2012.Dec. These are correct figures.
BPC ACCTYPE: what is AST, LEQ, INC and EXP? What account type sould be used?
Now, lets have a look at the same figures at a bit different angle. What will we see when looking
at Periodic vs YTD for Nov, Dec and Total? Will the figures sum up? No. This is because it is a
balance sheet accounts.
Here is the same example for Periodic and YTD view.
Periodic
Periodic
Periodic
2012.NOV
2012.DEC
2012.TOTAL 2012.NOV
BALANCE
Balance
0.00
TOTAST
Assets
AST1
Year To
Date
Year To
Date
Year To
Date
2012.DEC
2012.TOTAL
0.00
0.00
0.00
0.00
0.00
120.00
130.00
130.00
120.00
130.00
130.00
Cash
100.00
90.00
90.00
100.00
90.00
90.00
AST2
Accounts
Recivable
20.00
40.00
40.00
20.00
40.00
40.00
TOTLEQ
Liabilities
and Equity
120.00
130.00
130.00
120.00
130.00
130.00
LEQ1
Liabilities
(e.g.
Accounts
Payable)
50.00
70.00
70.00
50.00
70.00
70.00
LEQ2
Equity (e.g.
Stock)
70.00
60.00
60.00
70.00
60.00
60.00
EVDESCRIPTION
PARENTH1
ACCTYPE
PL
PROFIT/LOSS
PROFIT
Sales
PL
INC
COST
Cost of sales
PL
EXP
INC
Above is a very simple example of P&L accounts. The company has profit and costs. Profit minus
Costs is what the company has at the end of a period as a profit (if the result is positive) or loss
(if the result is negative). The sum is shown at PL account. Lets have a look at PL for the same
period of time (Nov, Dec, Total).
2012.NOV
2012.DEC
2012.TOTAL
BPC ACCTYPE: what is AST, LEQ, INC and EXP? What account type sould be used?
PL
PROFIT/LOSS
50.00
50.00
PROFIT
Sales
100.00
100.00
COST
Cost of sales
50.00
50.00
In Nov the company sold products for 100 currency units (cu) and had a cost of sales of 50 cu. In Nov the
company finished with total profit of 50 cu. (100 + (-50) = 50). These figures show movement of money just in
Nov. (we assume the company did nothing in Jan-Oct 2012).
In Dec the company sold products for 200 cu having costs of 50 cu. The total for Dec would be 150.
2012.NOV
2012.DEC
2012.TOTAL
PL
PROFIT/LOSS
50.00
150.00
200.00
PROFIT
Sales
100.00
200.00
300.00
COST
Cost of sales
50.00
50.00
100.00
The data above shows that 2012.Total adds up figures for Nov and Dec, which is correct. This is showing the
total result of the company in regards to profit. The company made 50 cu in Nov plus 150 cu in Dec which is
200 cu totally in 2012.
Now lets have a look at Periodic vs YTD for PL accounts.
Periodic
Periodic
Periodic
2012.NOV
2012.DEC
Year To
Date
Year To
Date
Year To
Date
2012.TOTAL 2012.NOV
2012.DEC
2012.TOTAL
PL
PROFIT/
LOSS
50.00
150.00
200.00
50.00
200.00
200.00
PROFIT
Sales
100.00
200.00
300.00
100.00
300.00
300.00
COST
Cost of
sales
50.00
50.00
100.00
50.00
100.00
100.00
Please notice that Periodic figures for Dec do not match YTD figures in Dec. This is because for YTD view we
want to see how much money the company made/lost by the end of a certain period (Dec in this case). For
YTD Dec that would be PL 50 + 150 = 200, Profit 100 + 200 = 300 and Cost 50 + 50 = 100.
Input value
BW sign
Reporting value
AST
BPC ACCTYPE: what is AST, LEQ, INC and EXP? What account type sould be used?
AST
LEQ
LEQ
INC
INC
EXP
EXP
Lets have a look at sample data to see the signs at BPC level (input and reporting) and BW. Here
is BPC input data and BW in one table.
Account
BPC
BW
AST_MINUS
-10.00
-10.00
ASP_PLUS
10.00
10.00
LEQ_MINUS
-20.00
20.00
LEQ_PLUS
20.00
-20.00
INC_MINUS
-30.00
30.00
INC_PLUS
30.00
-30.00
EXP_MINUS
-40.00
-40.00
EXP_PLUS
40.00
40.00