SAP BUSINESSOBJECTS PLANNING AND CONSOLIDATION 10.

0, VERSION FOR SAP NETWEAVER STARTER KIT FOR IFRS

Data Entry Guide

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Contents
Chapter 1 Chapter 2 Contents .................................................................................................................................. 3 Data Entry Navigation............................................................................................................. 5 Data Entry Format..................................................................................................................... 6 Graphic Charter ........................................................................................................................ 6 Intercompany Breakdown ......................................................................................................... 6 Chapter 3 General Data Entry Principles ............................................................................................... 7 Signs ......................................................................................................................................... 7 Order of Data Entry ................................................................................................................... 7 Flow Entry ................................................................................................................................. 7 Flows for Current Transactions ........................................................................................ 7 Flows for Specific Operations ........................................................................................... 8 Consolidation Flows Dedicated to Equity Method Companies ......................................... 8 Local Adjustments..................................................................................................................... 8 Chapter 4 Data Input Forms .................................................................................................................... 9 Balance ..................................................................................................................................... 9 Input Forms for Flow Analysis ................................................................................................ 11 Non-Current Non-Financial Assets ......................................................................................... 11 Property, Plant and Equipment ....................................................................................... 11 Investment Property........................................................................................................ 13 Intangible Assets ............................................................................................................ 14 Biological Assets ............................................................................................................. 15 Financial Assets ...................................................................................................................... 16 Investments in Subsidiaries ............................................................................................ 16 Financial Receivables ..................................................................................................... 18 Other Financial Assets.................................................................................................... 19 Cash and Cash Equivalents ........................................................................................... 20 Other Assets ........................................................................................................................... 21 Inventories ...................................................................................................................... 21 Other Assets ................................................................................................................... 22 Net Equity ............................................................................................................................... 23 Equity Statement ............................................................................................................ 23 Dividends Paid ................................................................................................................ 27 Net Equity EM ......................................................................................................................... 28 Equity Statement for Equity Method Companies ............................................................ 28

Contents

Liabilities ................................................................................................................................. 29 Provisions ....................................................................................................................... 29 Debts and Payables........................................................................................................ 30 Other Financial Liabilities ............................................................................................... 31 Other Liabilities ............................................................................................................... 32 Specific Operations ................................................................................................................. 33 IC Balance Sheet .................................................................................................................... 34 IC Profit and Loss ................................................................................................................... 35 IC Control Balance (Control Report) ....................................................................................... 36 IC Control Balance Sheet ............................................................................................ 36 IC Control Profit and Loss ........................................................................................... 36 Chapter 5 Data Validation ...................................................................................................................... 37 Controls ................................................................................................................................... 37 Types of Controls .................................................................................................................... 37 Main Balance Controls.................................................................................................... 37 Flow Analysis Controls ................................................................................................... 37 Intercompany Controls.................................................................................................... 37 Running the Controls .............................................................................................................. 38 Data Submission ..................................................................................................................... 38

Data Entry Navigation

Data Entry Navigation

The starter kit for IFRS contains a preconfigured Business Process Flow (BPF) for data entry which guides the business end-user through the data collection process and the different data input forms. This Business Process Flow helps understand the logical order of the data entry forms, how to run the validation controls as well as the actions to be performed once the data entry and validation has been completed. A Business Process Flow is identified by the following: Dimension Category Description The reporting scenario for which data is entered. In the starter kit, the category for the statutory consolidation is ACTUAL Actual from GL. Entity Time The entity for which data is entered. The period for which data is entered.

A standard BPF for data entry, L1 Data Entry, is available in the starter kit for IFRS. It includes all input forms to be filled in to do a complete reporting:

All companies, except those consolidated using the equity method, should fill in all standard input forms. Companies consolidated using the equity method should fill in only the input form Net equity for EM which includes the net equity analysis and the breakdown of dividends paid by shareholder.

Moreover, this input form enables consolidated data entry for companies using the equity method which are themselves holder of consolidated investments. The person in charge of the consolidation process should instruct each data entry user on which input forms to fill in.

Data Entry Navigation

Data Entry Format

Data input forms are organized into workbooks, which are again organized into folders, according to their content. For example, the input form Financial Receivables belongs to the workbook Financial Assets which is placed in the subfolder Flow Analysis. The input forms are organized into three subfolders according to the recommended order of data entry: Subfolder Balances Flow Analysis Intercompany Description Input forms for entering main balances for profit and loss, assets and equity and liabilities. Input forms for analyzing the variations between opening and closing for balance sheet accounts. Input forms for entering breakdown details by partner for both balance sheet and income statement accounts.

The data input forms can be accessed via the Data Entry Business Process Flow or directly in the different subfolders of the server input form folder.

Graphic Charter
The formatting imposes certain rules on the presentation of the input forms in order to keep the data entry coherent and guide the business end-user through the data entry process. Data should not be entered in a cell if any of the following applies:

The given account/flow cross-over is not authorized. For example, an increase in depreciation (flow F25) is not relevant for tax accounts. The cell contains a calculation formula, for instance an aggregation. The cell contains opening balance data on the opening flow.

The actual format of the cells indicates the data type: Cell format Hatched Colored fill and bold font Description The account/flow crossover is not authorized. The cell contains a subtotal resulting from a calculation formula, for instance an aggregation.

Intercompany Breakdown
To help users identify intercompany accounts, an additional column with the abbreviation IC indicates when entering breakdown details by partner is relevant. For income statement accounts, this information is shown in the balance input form. For balance sheet accounts, this information is shown in the flow analysis input forms.

General Data Entry Principles

General Data Entry Principles

Signs

Assets are entered as positive amounts, except for depreciations, amortizations and provisions which are entered as negative amounts. Equity and liabilities are entered as positive amounts. Expenses and income figures are entered as positive amounts.

Order of Data Entry

The Business Process Flow for data entry and the organization of the different input forms into subfolders guide the end-user through a step-by-step approach for entering data: The order is: 1. Closing balances (Income Statement, Assets, Equity and Liabilities) 2. Period movements (breakdown by flow) 3. Intercompany details

Flow Entry
Analyzing data by flow makes it possible to identify variations in the balance sheet between the opening and closing position, and thus enable the calculation of statement of cash flows line items. Flows available in data input forms are classified into the following categories: Flows for current transactions Flows for specific operations Consolidation flows dedicated to companies using the equity method which are themselves holder of consolidated investments

Flows for Current Transactions

Variations in balance sheet accounts, excluding net equity:

F15: net variation, for balance sheet accounts, such as trade receivables, for which a distinction between increase and decrease is not necessary F20: increase, for investments, loans and borrowings F25: allowance on amortizations/depreciations/impairments/provisions F30: decrease as a result of disposal or repayment F35: write-back of impairments/provisions F40: subscription to capital increase F55: fair value adjustment, increase and decrease

Changes in shareholder equity:

F06: dividends paid F10: net profit for the period

General Data Entry Principles

F20: specific operations on treasury shares, hedging reserves F30: specific operations on treasury shares, fair value reserves and hedging reserves F40: capital increase F55: impact on reserves of fair value adjustments

Flows for Specific Operations

Three specific operations are identified in dedicated flows:

F09: changes in accounting policies F50: reclassification F70: mergers

These transactions can be entered in each input form or in a dedicated input form, Specific Operations. The balance of flows F09 and F50 (assets = liabilities) as well as the balance of flow F70 (assets - liabilities = impact on account P1620 - Merger result) are subject to controls. For more information about data validation controls, see the section on Data Validation.

Consolidation Flows Dedicated to Equity Method Companies

Consolidation flows dedicated to companies using the equity method which are holders of consolidated investments relate to:

The impact of currency translation adjustment: flow F80 The impact of scope changes:

F01: incoming entities F92: financial interest changes of subsidiaries which are consolidated using the full method F98: outgoing entities

Local Adjustments
Data entry is normally done using the INPUT Input Data audit ID. However, local adjustments can also be entered in input forms using the audit ID INPUT11 Adjustment to Group accounting policies. The audit ID can be selected in the EPM context pane. Only one leaf level audit ID (INPUT or INPUT11) must be selected for data entry and it is possible to retrieve the sum of the audit IDs INPUT and INPUT11 by selecting the node ALL_INPUT.

Data Input Forms

Data Input Forms

The following information is outlined for each input form: Section Purpose Prerequisites Subsequent data requirements Data entry principles Note entry Description Brief description of the contents List of input forms to be completed first in order for the given input form to be relevant Breakdown input forms to be filled in afterwards Flows and accounts Controls to be carried out before closing the input form

Balance
The input form Balance includes the following worksheets:

Profit and Loss Assets Equity and Liabilities

These are the first input forms in which to enter data or, in the case of a data interface, the first input forms to be checked before any additional entries are made. Note: When an entity is consolidated for the first time, the opening balance (F00) must also be entered (see the operating guide for further information on incoming entities and first consolidation).

Example: Business Units When entities are split into business units, the net income of the legal company is split between the different business units, whereas other net equity items are assigned to the primary business unit. The overall balance sheet is not split between the business units and certain balance sheet items remain with the primary business unit. This example illustrates how to balance the balance sheet entered by business unit using balancing accounts, and how to transfer the net income of each business unit to the net equity of the primary business unit. Subsidiary S is split between business units S1 and S2, and the net income of the data entry period is assigned to S2.

Data Input Forms

Closing balances are as follows:

Profit and loss

Unit S1 Unit S2

The net income of business unit S2 is transferred to the net equity of the primary business unit S1 via the net income balancing account.

Assets
Unit S2

Equity and liabilities

Unit S1 Unit S2

The balance sheets of the primary business unit and the other business units are balanced assets versus liabilities in the balance sheet balancing account.

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Data Input Forms

Input Forms for Flow Analysis

The following input forms allow for the analysis of changes in the balance sheet between opening and closing of the data entry period. The principles are:

For all balance sheet accounts, flow F15 Net variation is calculated as the difference between opening and movement flows. The analysis of changes by flow is required for most assets and liabilities in order to build the statement of cash flows. For these accounts, the flow F15 Net variation identifies the total variation to be broken down by flow. In the input forms, the flow F15 will in this case be placed at the end of the expansion in the Control column. Moreover, the data cells will be hatched indicating a non-authorized account/flow pair. For certain assets, like receivables, and liabilities, like loans, the distinction between increase and decrease is not necessary. The variation between the opening and closing positions is thus fully allocated to the flow F15 - Net variation. In the input forms, the flow F15 will in this case be placed at its natural position in the expansion.

The flow analysis input forms should be completed after entering the closing balances (Balance input form). In the event that a change in accounting policies or a merger transaction takes place during the data entry period, it is recommended to enter data in the input form Specific Operations before completing the other input forms. All input forms are outlined below with each worksheet appearing according to how it is organized in the workbook.

Non-Current Non-Financial Assets

Property, Plant and Equipment
Purpose
Analysis of the changes in property, plant and equipment.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Data entry principles

For changes in gross book value:

Flow F20 is used for acquisition or activation of new property, plant and equipment Flow F30 is used for disposal of property, plant and equipment Flow F55 is used for the impact of the fair value when property, plant and equipment are evaluated with this method

For depreciation:

Flow F25 is used for the allowance of the period Flow F30 records the outflow of accumulated amortization on the date of sale Flow F55 is used for depreciation adjustment when property, plant and equipment is evaluated with this method (see example below)

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Data Input Forms

For impairment:

Flow F25 is used for the allowance of the period Flow F30 records the outflow of accumulated impairment on the date of sale Flow F35 is used for the write-back of impairment

For specific operations*:

Flow F50 is used for:

Account reclassification Writing off fully depreciated property, plant and equipment

Flow F09 records the impact of a change in accounting policies Flow F70 is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations. Example Company F owns a building with a net book value of 900 (Gross book value = 1000 and depreciation = 100). The fair value of the building is evaluated at 1200. The company applies the revaluation method for this type of assets. The worksheet Property, plant and equipment should be filled in as follows:

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Investment Property
Purpose
Analysis of the changes in investment property.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Data entry principles

For the changes in the gross book value:

Flow F20 is used for acquisition or activation of new investment property Flow F30 is used for disposal of investment property Flow F55 is used for the impact of the fair value when investment property is evaluated with this method

For depreciation:

Flow F25 is used for the allowance of the period Flow F30 records the outflow of accumulated depreciation on the date of sale

For impairment:

Flow F25 is used for the allowance of the period Flow F30 records the outflow of accumulated impairment on the date of sale Flow F35 is used for the write-back of impairment

For specific operations*:

Flow F50 is used for:

Account reclassification Writing off fully depreciated investment property

Flow F09 records the impact of a change in accounting policies Flow F70 is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Intangible Assets
Purpose
Analysis of the changes in intangible assets.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Data entry principles

For the changes in the gross book value:

Flow F20 is used for acquisition or activation of new intangible assets Flow F30 is used for disposal of intangible assets Flow F55 is used for the impact of the fair value when intangible assets are evaluated with this method

For amortization:

Flow F25 is used for the allowance of the period Flow F30 records the outflow of accumulated amortization on the date of sale Flow F55 is used for amortization adjustment when intangible assets are evaluated with this method (see example for Property, plant and equipment)

For impairment:

Flow F25 is used for the allowance of the period Flow F30 records the outflow of accumulated impairment on the date of sale Flow F35 is used for the write-back of impairment

For specific operations*:

Flow F50 is used for

Account reclassification Writing off fully depreciated intangible assets

Flow F09 records the impact of a change in accounting policies Flow F70 is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Biological Assets
Purpose
Analysis of the changes in biological assets.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Data entry principles

For the changes in the gross book value:

Flow F20 is used for acquisition or activation of new biological assets Flow F30 is used for disposal of biological assets Flow F55 is used for the impact of the fair value when biological assets are evaluated with this method

For depreciation:

Flow F25 is used for the allowance of the period Flow F30 records the outflow of accumulated depreciation on the date of sale

For impairment:

Flow F20 is used for the allowance of the period Flow F30 records the outflow of accumulated impairment on the date of sale Flow F35 is used for the write-back of impairment

For specific operations*:

Flow F50 is used for:

Account reclassification Writing off fully depreciated biological assets

Flow F09 records the impact of a change in accounting policies Flow F70 is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Financial Assets
Investments in Subsidiaries
Purpose
Analysis of variation in value of investments in subsidiaries.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Subsequent data entry requirements

Transactions entered for account A1810 - Investments in subsidiaries, JV and associates and A1812 Investments in subsidiaries, JV and associates, Impair. must be broken down by share in the input form IC Balance Sheet, located in the Intercompany subfolder

Data entry principles

For investments in subsidiaries, JV and associates:

Flow F20 is used for investment purchases Flow F30 is used for disposals Flow F40 is used for subscriptions to capital Flow F55 is used, if necessary, for fair value entries of the data entry period

For impairment:

Flow F25 is used for impairment Flow F30 is used to reverse impairment when the share is sold Flow F55 is used, if necessary, for fair value entries of the data entry period

For specific operations*:

Flow F50 may be used for item movements or within the account for reclassification of shares (see example 2) Flow F09 records the impact of a change in accounting policies on share evaluation Flow F70 is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations. Example 1: Entering data in merger-related flows Entity A takes over entity B retroactively at 01/01/N. Data is as follows: - The value of B securities held by entity A at 31/12/N-1 amounts to 1000 - Prior to the merger, entity A purchased entity B securities for the amount of 200 - B contributes with a securities portfolio comprising shares in C for the amount of 100 and in D for the amount of 300

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Data Input Forms

Data entry in the worksheet Investments in subsidiaries for entity A is as follows:

The breakdown by share of investments in subsidiaries in the input form IC Balance Sheet for entity A is entered as follows:

Example 2: Investments previously held in an entity which enters the group consolidation scope Entity A has bought securities in company B in N-2 for 500. Company B enters the consolidation scope on 01/01/N. For entity A, data entry period N, the worksheet Investments in subsidiaries is entered as follows:

The breakdown by share of the investments in subsidiaries in the input form IC Balance Sheet for entity A is entered as follows:

Note

The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all shares and for the account total. The total amount declared by share must not exceed the total of the account.

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Data Input Forms

Financial Receivables
Purpose
Analysis of the changes in financial receivables.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Subsequent data entry requirements

Breakdown of financial receivables by partner in the input form IC Balance Sheet

Data entry principles

For receivables gross value, changes are allocated to flow F15. It is possible to post manually all or any of the variation on other flows, and flow F15 is updated automatically. For allowances for bad debts:

Flow F25 is used for the allowance of the data entry period, Write-backs should be entered on the flow F35.

Flow F55 is used for the impact of the fair value. Flow F50* is used for account reclassification. It is notably used when transferring a non-current asset into a current asset. Flow F09* records the impact of a change in accounting policies Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for the bad debts account allowances.

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Data Input Forms

Other Financial Assets

Purpose
Analysis of the changes in other financial assets:

Loans and cash advances and related allowances Derivatives Financial assets at fair value through profit or loss Other financial assets including those for sale

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Subsequent data entry requirements

Breakdown by partner of loans and cash advances and related allowances in the input form IC Balance Sheet

Data entry principles

Flow F20 is used for increasing financial assets corresponding to monetary transactions, like purchasing securities and granting loans Flow F30 is used for decreasing financial assets, like disposal and repayment Flow F25 is used for allowances for bad debts Flow F35 is used for write-backs, justified by the decrease or the end of the risk Flow F55 is used for the impact of the fair value Flow F50* is used for account reclassification, notably when transferring a non-current asset into a current asset. Flow F09* records the impact of a change in accounting policies Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Cash and Cash Equivalents

Purpose
Analysis of the changes in cash and cash equivalents.

Prerequisites
Input form Balance, worksheet Assets Input form Balance, worksheet Equity and Liabilities Input form Specific Operations (if relevant)

Data entry principles

The variation between the opening and closing position is automatically posted on flow F15. It is possible to manually post all or any of the variation on other flows and flow F15 will automatically be updated. Flow F55 is used for the possible impact of fair value Flow F09* records the impact of a change in accounting policies Flow F50* is used for account reclassification. Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Other Assets
Inventories
Purpose
Analysis of the changes in inventories.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Data entry principles

The variation between the opening and closing position is automatically posted on flow F15. It is possible to manually post all or any of the variation on other flows and flow F15 will automatically be updated. Flow F25 is used for inventory depreciation Flow F35 is used for write-back of inventory depreciation Flow F55 is used for the possible impact of fair value Flow F09* records the impact of a change in accounting policies Flow F50* is used for account reclassification, notably when transferring a non-current asset into a current asset Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

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Data Input Forms

Other Assets
Purpose
Analysis of the changes in other assets.

Prerequisites
Input form Balance, worksheet Assets Input form Specific Operations (if relevant)

Data entry principles

The variation between the opening and closing position is automatically posted on flow F15, except for the accounts A3000 Non-current assets and disposal groups held for sale and A3100 Non-current assets and disposal groups held for distribution to owners. It is possible to post manually all or any of the variation on other flows and flow F15 will automatically be updated. Flow F30 is used for the disposal of assets or groups of assets Flow F55 is used for the possible impact of fair value Flow F09* records the impact of a change in accounting policies Flow F50* is used for account reclassification, notably when transferring a non-current asset into a current asset. Accounts A3000 Non-current assets and disposal groups held for sale and A3100 Non-current assets and disposal groups held for distribution to owners are entered using the flow F50 to reclassify assets or liabilities. Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The F15 Net variation column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for accounts A3000 Non-current assets and disposal groups held for sale and A3100 Non-current assets and disposal groups held for distribution to owners.

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Data Input Forms

Net Equity
Equity Statement
Purpose
Analysis of variation of shareholders equity.

Prerequisites
Input form Balance, worksheet Equity and Liabilities Input form Specific Operations (if relevant)

Subsequent data entry requirements

Breakdown of dividends paid per shareholder in the input form Net Equity, worksheet Dividends paid

Data entry principles

Flow F06 records distributions made during the data entry period. The total distribution is calculated on the fly (with opposite sign) and presented within the same input form in the worksheet Dividends Paid where you can enter the analysis of dividends paid by shareholder. Flow F10 corresponds to the net income flow and therefore only relates to account E1610 Retained earnings. It is automatically filled in when the income statement is entered. Flow F40 is used to recognize capital increases or reductions made in cash, however:

Capital increases made by incorporation of reserves or loans are recorded on flow F50 (see example 1) Capital increases in the form of assets contributed in kind or in the context of mergers are recorded on flow F70 Reductions in capital by offsetting debit retained earnings are recorded on flow F50*

For treasury shares (Account E1310): the flow F20 is used for purchase and the flow F30 is used for disposal of treasury shares (see example 2). For revaluation surplus (accounts E1510 - Revaluation surplus, before tax and E1511 - Income tax on revaluation surplus):

The flow F55 is used to enter the impact on reserve of fair value adjustment for property plant and equipment and intangible assets (when the entity chooses the revaluation model as its accounting policy) and the related tax effect. The flow F50* is used to transfer revaluation surplus into retained earnings (account E1610), due to the disposal of the revalued asset or due to the asset depreciation.

For actuarial gains and losses (accounts E1520 - Actuarial gains and losses, before tax and E1521 - Income tax on actuarial gains and losses):

The flow F55 is used to enter the share of actuarial gains and losses on retirement benefit obligations recorded in comprehensive income according to the option proposed by IAS 19 (Article 93) and the related tax effect. The flow F50* is used to transfer these amounts into retained earnings in order to empty the suspense account (see example 3).

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Data Input Forms

For hedging reserves (accounts E1540 - Hedging reserve, before tax and E1541 - Income tax on hedging reserve):

The flow F55 is used to enter the share of gains or losses on hedging instrument that is determined to be an effective hedge and the related tax effect. The flows F20 and F30 allow reclassification adjustment (recycling): F20 is used to remove any gain or loss that was previously recorded from hedging reserves and to include it in the initial cost of the acquired asset or liability F30 is used to transfer the gain or loss previously recorded in equity to profit and loss in the same period in which the hedged cash transaction affects profit and loss

For fair value reserves (account E1550 - Fair value reserve, before tax and E1551 - Income tax on fair value reserve):

The flow F55 is used to enter the impact of fair value changes on available for sale financial assets, The flow F30 is dedicated to reclassification adjustment (recycling) of the cumulative gain or loss when the asset is disposed of (see example 4).

Flow F09* records the impact of a change in accounting policies Flow F70* records capital increases in the form of assets contributed in kind or in the context of mergers

*Specific operations can also be entered in the input form Specific Operations.

Example 1: Seesaw effect on capital Company A increases its capital by incorporating a loan for the parent company for the amount of 1000, then reduces it by the same amount to offset the debit balance brought forward. Extract of input form Liabilities, worksheet Other Financial Liabilities:

Entering data in the input form Equity statement:

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Data Input Forms

Example 2: Treasury shares At the beginning of the year, entity A buys 1000 of its own treasury shares for 100. At the end of the year, entity A sells 200 shares for 24. Input form Equity statement is entered as follows:

Example 3: Actuarial gains and losses Company A recognizes an actuarial difference of 100 on its provision for employee benefits measurement. Entries are made in input form Liabilities, worksheet Provisions as follows:

The impact on net equity should be entered as follows:

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Data Input Forms

Example 4: Fair value reserves An asset is purchased during the period N for an amount of 1000. On 31/12/N, its fair value is measured to 1100. The item is entered in input form Other Assets, worksheet Other Financial Assets as follows:

The impact on net equity should be entered as follows:

On 01/01/N+1, the asset is disposed of for 1110. The amount is entered in input form Other Assets, worksheet Other Financial Assets as follows:

The impact on net equity should be entered as follows:

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Dividends Paid
Purpose
Analysis of dividends paid by shareholder.

Prerequisites
Input form Net Equity, worksheet Equity statement

Data entry principles

The total amount of dividends paid populates the first row of the worksheet. It is calculated on the fly on the basis of flow F06 (with opposite sign) from the net equity accounts. Dividends paid by shareholder should be entered for the holding companies receiving dividends. Dividends paid to non-consolidated companies should not be entered.

Note
The total amount declared by intercompany must not exceed the total dividends paid calculated on the fly.

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Data Input Forms

Net Equity EM
Equity Statement for Equity Method Companies
Purpose
Analysis of variation of shareholders equity. This input form is dedicated to companies using the equity method only.

Prerequisites
None.

Subsequent data entry requirements

Breakdown of dividends paid by shareholder in the input form Net Equity EM, worksheet Dividends paid

Data entry principles

In addition to the accounts and flows presented in the standard net equity input form, the Equity Statement for Equity Method Companies includes additional consolidation accounts, including foreign currency translation reserves and non-controlling interests, and also consolidation flows.

Flow F10 corresponds to the net income flow and therefore only relates to account E1610 Retained earnings and E2010 Non-controlling interests - reserves and retained earnings. Account E1610 Retained earnings is automatically filled in with the net income from the dedicated account XP000 Profit (loss) - EM and possibly reduced by the share of non-controlling interest entered in account E2010 Non-controlling interests - reserves and retained earnings. Flow F80, currency translation adjustment, is used for exchange difference variation Impact of scope changes should be entered on the following flows:

Flow F01 is used for incoming entities Flow F92 is used for changes in financial interest of full consolidated entities Flow F98 is used for outgoing entities

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all shares and for the account total.

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Data Input Forms

Liabilities
Provisions
Purpose
Analysis of the changes in provisions.

Prerequisites
Input form Balance, worksheet Equity and Liabilities Input form Specific Operations (if relevant)

Subsequent data entry requirements

Analysis of intercompany provisions by partner in the input form IC Balance Sheet

Data entry principles

Flow F25 corresponds to allocations over the data entry period Flow F35 corresponds to write-back over the data entry period For provisions for employee benefits, flow F55 is used for entering the impact of actuarial gains and losses included in comprehensive income (see the example for the input form Equity statement) Flow F09* records the impact of a change in accounting policies Flow F50* is used for account reclassification, notably when transferring a non-current provision into a current provision Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Debts and Payables

Purpose
Analysis of the changes in debts on purchase of assets and payables.

Prerequisites
Input form Balance, worksheet Equity and Liabilities Input form Specific Operations (if relevant)

Subsequent data entry requirements

Analysis of intercompany debts and payables in the input form IC Balance Sheet.

Data entry principles

The variation between the opening and closing position is automatically calculated on flow F15. It is possible to post manually all or a part of the variation on other flows and flow F15 will automatically be updated. Flow F55 is used for the possible impact of fair value Flow F09* records the impact of a change in accounting policies Flow F50* is used for account reclassification, notably for the transfer of a non-current borrowing to a current borrowing Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

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Data Input Forms

Other Financial Liabilities

Purpose
Analysis of the changes in other financial liabilities, like borrowings, convertible bonds, and derivatives.

Prerequisites
Input form Balance, worksheet Equity and Liabilities Input form Specific Operations (if relevant)

Subsequent data entry requirements

Intercompany other financial liabilities in the input form IC Balance Sheet.

Data entry principles

Flow F20 is used for new borrowings or an increase in existing liabilities Flow F30 is used for repayment Flow F55 is used for the possible impact of fair value Flow F09* records the impact of a change in accounting policies Flow F50* is used for account reclassification, notably for the transfer of a non-current borrowing to a current borrowing Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The Control column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for all accounts.

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Data Input Forms

Other Liabilities
Purpose
Analysis of the changes in other liabilities, like deferred tax and deferred income.

Prerequisites
Input form Balance, worksheet Equity and Liabilities Input form Specific Operations (if relevant)

Subsequent data entry requirements

None

Data entry principles

The variation between the opening and closing position is automatically calculated on flow F15 Net variation. It is possible to post manually all or a part of the variation on other flows and flow F15 will automatically be updated. Flow F30 is used for the removal of liabilities included in the disposal of assets Flow F55 is used for the possible impact of fair value Flow F09* records the impact of a change in accounting policies Flow F50* is used for account reclassification, particularly for the transfer of a non-current borrowing to a current borrowing Flow F70* is used in the context of merger operations

*Specific operations can also be entered in the input form Specific Operations.

Note
The F15 Net variation column, which shows the difference between the total variation and variations analyzed by flow, must equal 0 for account L3000 - Liabilities included in disposal groups classified as held for sale.

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Data Input Forms

Specific Operations
Purpose
Enter the impact of changes in accounting policies and merger operations on the balance sheet.

Prerequisites
None

Subsequent data entry requirements

None

Data entry principles

This input form is presented as a balance sheet.

The impact of a change in accounting policies must be filled in on flow F09. The counterpart of the variation of assets and liabilities is declared on retained earnings (account E1610 - Retained earnings) in compliance with IFRS. Flow F50 is used for account reclassifications across the entire balance sheet. Flow F50 should balance assets liabilities. The impact of a merger must be entered on flow F70. If necessary, the impact on the Profit and Loss is declared in account P1620 - Merger result in the input form Balance, worksheet Income Statement.

Note
Flows must be balanced as explained above.

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Data Input Forms

IC Balance Sheet
Purpose
Analysis of a single balance sheet account by partner: Investments in subsidiaries / impairment on investments in subsidiaries Reciprocal assets and liabilities Internal allowances and provisions

Prerequisites
Input form Financial Assets, worksheets Investments in Subsidiaries, Financial Receivables and Other Financial Assets (accounts flagged with IC) Input form Liabilities, worksheets Provisions, Debts and Payables and Other Financial Liabilities (accounts flagged with IC)

Subsequent data entry requirements

None

Data entry principles

Data entered in the flow analysis input forms populates the upper part of this input form with the detail by flow for each balance sheet account. To enter breakdown details, partners should be added in the dedicated lower part using one of the following EPM Add-In functionalities: 1) Insert members: right click and choose EPM -> Insert Members to insert one or several partners. 2) Member recognition: simply type in the code of the partner entity and a new data entry line will automatically be added for this partner.

Note
The total amount declared for intercompany must not exceed the total of the account.

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Data Input Forms

IC Profit and Loss

Purpose
Analysis of a single profit and loss account by partner: Reciprocal income and expenses Dividends received

Prerequisites
Input form Balance, worksheet Income Statement (accounts flagged with IC)

Subsequent data entry requirements

None

Data entry principles

Data entered in the flow analysis input forms populates the upper part of this input form with the detail by flow for each balance sheet account. To enter breakdown details, partners should be added in the dedicated lower part using one of the following EPM Add-In functionalities: 1) Insert members: right click and choose EPM -> Insert Members to insert one or several partners. 2) Member recognition: simply type in the code of the partner entity and a new data entry line will automatically be added for this partner.

Note
The total amount declared for intercompany must not exceed the total of the account.

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Data Input Forms

IC Control Balance (Control Report)

IC Control Balance Sheet
Purpose
This control report retrieves all intercompany balance sheet accounts by partner: Investments in subsidiaries / Impairment on investments in subsidiaries Receivables and payables Internal allowances and provisions Other Financial Assets and Liabilities

Prerequisites
Input form Balance, worksheets Assets and Equity and liabilities Input form Financial Assets, worksheets Investments in Subsidiaries, Financial Receivables and Other Financial Assets Input form Liabilities, worksheets Provisions, Debts and Payables and Other Financial Liabilities Input form IC Balance Sheet

Principles
Data entered in the flow analysis and intercompany input forms populates this report for each balance sheet account with the detail by flow and by partner. This report allows checking that the relevant breakdown by partner has been entered and that the total amount declared for intercompany does not exceed the total of the account.

IC Control Profit and Loss

Purpose
This control report retrieves all intercompany profit and loss accounts by partner: Income and expenses Dividends received

Prerequisites
Input form Balance, worksheet Income Statement Input form IC Profit and Loss

Principles
Data entered in the input form Balance, worksheet Income Statement, and in the intercompany input forms populates this report for each profit and loss account. This report allows checking that the relevant breakdown by partner has been entered and that the total amount declared for intercompany does not exceed the total of the account.

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Data Validation

Data Validation
Controls
A number of controls have been configured in the starter kit to validate the coherence of data entered in the input forms. These controls are grouped within one control set for actual data, A Control set for Actual data. They are organized logically, following the order of data entry, and can be carried out progressively throughout the data entry process. All controls and all entities are associated to the Basic control level. These controls validate data entered on audit IDs included in the node ALL_INPUT All local input (INPUT Input Data and INPUT11 Local adj. to Group accounting policies), either audit ID by audit ID or all audit IDs aggregated. The controls are all blocking controls which, if not validated, prevent the submission of data for approval in the workflow process for the given data region (Category, Time, Entity).

Types of Controls
The controls are codified according to the type of data they control.

Main Balance Controls

Controls prefixed with the letter A are basic accounting controls that are applied to the opening and closing position of the data entry period. Controls on the opening position deal more specifically with companies entering the consolidation scope since opening data for other companies is pre-entered by copying the closing balance of the previous period. These controls notably check that:

Total assets equal total liabilities Depreciations, amortizations and provisions on assets are lower than the gross values

Flow Analysis Controls

Controls prefixed with the letter B ensure that flows are used correctly, in particular:

Exhaustive analysis of changes in balance sheet items, meaning the Control column equals 0 The balance between assets and liabilities for reclassifications (flow F50) and changes in accounting policies (flow F09) The equation assets liabilities = merger result (flow F70)

Intercompany Controls
Controls on the intercompany breakdown are prefixed with the letters C, D and E according to the type of data they control:

Controls prefixed with the letter C check the basic account reconciliation at breakdown level, for example that the gross value is greater than the provisions for each partner. Controls prefixed with the letter D check the exhaustive flow analysis by partner for balance sheet items

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Controls prefixed with the letter E check that the sum of the totals declared by intercompany is not greater than the total sum of the account in question at opening and at closing respectively (ALL_INTERCO < I_NONE).

Running the Controls

Controls are run from the Control Monitor which can be accessed directly from the Validate Data step of the Data Entry Business Process Flow or via the Consolidation Central on the web. Once the controls have been run, the details for each control can be viewed in the control results. A control can have one of the following three statuses: To be executed Passed Failed

To correct a control that has failed, the following information is available:

A detailed description of the control, when possible including the ID and label of the accounts that are processed by the control The equation that corresponds to the type of control (equal to, greater than etc.) The result which indicates the calculated difference

In the section Documents for are links to the input form(s) in which an eventual error can be visualized and/or corrected. Once all errors have been corrected, the controls must be run again to change the status to Passed for the entity in question.

Data Submission
Once input data validation is finalized, the local data entry user can submit the data for approval. This is done in two steps:

Change the work status from Started to Submitted to lock further data input for the local user Submit the Data Entry Business Process Flow (by clicking the Submit button) in order to activate the reviewing process

Following, the reviewer/manager in charge of the data approval can rerun the controls, verify data consistency, enter and correct data. If the reviewer approves the data input for the data region in question, he should change the work status from Submitted to Approved, which will lock further data entry for all users, and complete the Business Process Flow. If the reviewer rejects the data input, he should change the work status from Submitted to Rejected and reject the Business Process Flow in order to reopen the data entry for the local data entry user which will then be able to repeat the validation steps.

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