Financial Statement Setup The formats for financial statements may be set up or edited with this operation. The format tables may also be printed as needed. A series of format lines describe how financial statements are to be printed and totaled. Each group of format lines are assigned a number and a name, enabling many different financial reports to be run. While setting up a report or statement, you will be able to select the following items for each format line, and enter appropriate information to produce the desired report. Sequence Number Each format line must be assigned a sequence number. These determine the order used while printing the financial report. These numbers should be assigned, allowing for future insertion of new format lines, for instance using increments of 10 or 50. The first sequence number is always 0000, which is used for the report title. Beginning Account Number This is the beginning account number to start listing and accumulating from for this format line. Full account number is not required as long as the numbers match what is entered. If the word TITLE is entered here, then contents of the LABEL item for this format line will be printed on the report as a title. The beginning account number is always blank for totals, NET INCOME FORMAT LINE, and when NET is the ending account number. Ending Account Number This is the ending account number to list and accumulate for this format line. This item will always be blank for titles and totals. If this item contains the word NET, then the amount calculated from a previous format line with the label of NET INCOME will be printed and also accumulated into the Level number contained on this NET format line. This NET allows transferring a calculated profit or loss amount from an income statement to balance sheet without having to duplicate income and expense accounts in the balance sheet. Normal Balance The Normal Balance item indicates whether the amounts being processed for this line are normally Debit or Credit. These must be correct for the accumulators and printing to work properly. Refer to the Chart of Accounts report for proper Balances. Total Level A Total Level is a place to store accumulated amounts. There are 99 levels available (Level 1-99). These could be thought of as 'buckets'. Dummy level 0 is used on titles only. The highest level not otherwise used in accumulating may be designated as Accumulate only (does not print accounts) by entering an A in the % column for that format line or lines. This will establish a basis for percentages to print. All levels are empty at the start of the report. Each level number is accumulated into on the basis of the beginning and ending GL account numbers on the same format line. Accumulation continues for any following format lines with the same level number until 'dumped' into a total format line with the next lower level number. (Ex: level 6 is totaled into level 5.) At this time the accumulated amount of the higher level (6) is added to the amount already in the next lower total line level (5) and the next higher level (6 in example) is cleared. THis next higher level may be used again for a new accumulation. A Total Format Line is a line with blank beginning and ending account numbers and a level number one less than the previous format line level. This total format line forces the higher level amount to accumulate into its own level and clears the higher level. A report is also printed using the label for the total format line. A total format line may be followed by another total format line with the next lower level number. The same accumulation into the lower level and clearing of the higher level will occur. To recap, accumulations continue for any given level, whether a beginning and ending account accumulation or a Total leve, until a next lower level total format line is encountered. After 'dumping' into the lower level, the higher level is no longer considered. When the report first starts printing, it assumes to be in 'Income Statement' mode for printing column headers and percentages. The levels in the income statement portion should be arranged so that the combined accumulations of all income and expense accounts levels end with the lowest level used. The words NET INCOME should also be in the label for this lowest level format line. The 'beginning and ending' account numbers are always blank for the Net Income line. See the explanation of Ending Account Number for instructions on referencing this amount in the balance sheet portion of the statement. NOTE: This NET INCOME line triggers the report to switch to 'Balance Sheet' mode. Label The label is the description printed for a total or title in the format line. For a range of accounts the Chart of Accounts description for each account in the range will print on the report and the format line label may be left blank. If the format line is not blank while using a range, the account descriptions for each will print as above, except a sub-total line will automatically print for the indicated range with a description of the format label line. The accumulated amount for the level number remains intact. The format line label of NET INCOME has special use which is further explained in Total Levels, and also under NET INCOME sub-heading. Page Break The page break column will normally be N, unless it is desired to start a new page. Indicating a Y will start printing on a new page after that format line is processed. A Z may be used in place of an N to prevent accounts with Zero balances from printing (for the range on this format line only). Print Percentages (%) The % column uses the following control characters: N (or blank) Do not print percentages on this line. A Accumulate the accounts in the range of this line into the level of this line and use the total accumulated amount as a Percentage Basis (Called PB hereafter). Will not print the accounts. Y Print the percentage on this line comparing the amount of this line to the PB. T Change the PB to the Total on this line. Z Zero out the PB. B Start report in Balance Sheet mode. Use on Line 0000 only. Net Income The format line with the label of Net Income is identical to a Total format line except that the amount accumulated is saved. It should contain the net result of the income statement (profit or loss), and is always the last line in the Income Statement. The amount saved by the NET INCOME format line is referenced wherever desired in the Balance Sheet (usually in the Equity totals) by a format line with NET as the ending account number. The label for this NET line is ignored (NET INCOME is printed) and the amount saved will print and accumulate into the indicated level.