Chapter 7. Notes to the Financial
Statements
In the following sections, we will clarify how to use the Notes to the Financial Statements within the Flexible Report Writer.
Numbering of the Notes
Before you consider how the Flexible Report Writer works in relation to the Notes to the
Financial Statements, it is important that you understand how HandiLedger 2015 decides the number to print against each note.
Significance of the “Notes to the Financial Statements” window
When you prepare the Notes to the Financial Statements, you want the notes to have sequential numbers. HandiLedger 2015 assigns sequential numbers to each Note that you select in the “Notes to the Financial Statements” window. (Generally, you would not select all of the available Notes, as not all Notes are relevant to your client).
Please refer to Example 1 and Example 2 (below).
Example 1
Figure 7: The Notes to be included are selected in the “Notes to the Financial Statements” window
A number of notes have been selected in the above Figure. The client's Notes to the Financial
Statements would appear similar to:
Note 1: Statement of Accounting Policies
Note 2: Revenue
Note 3: Profit from Ordinary Activities
Note 4: Cash assets
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Chapter 7. Notes to the Financial Statements Flexible Report Writer 2015
Note 5: Receivables
Note 6: Inventories
Note 7: Payables
Note 8: Interest-Bearing Liabilities
Note 9: Provisions
Example 2
Consider what would happen if the Receivables Note in Example 1 was selected in the “Notes to the Financial Statements” window, but the client did not have any Receivables.
Even if the note is selected in the “Notes to the Financial Statements” window, because it is blank, HandiLedger 2015 will not assign a number to it or print it. The result is displayed below.
Note 1: Statement of Accounting Policies
Note 2: Revenue
Note 3: Profit from Ordinary Activities
Note 4: Cash assets
Note 5: Inventories
Note 6: Payables
Note 7: Interest-Bearing Liabilities
Note 8: Provisions
Notes and the Flexible Report Writer
The note number that prints against a specific Note in the Notes to the Financial Statements will vary. This is because (a) the specific Notes included in the Notes to the Financial Statements will differ between each entity, (b) HandiLedger 2015 always numbers the notes in consecutive order.
For example, the Inventories note may print in the Financial Statements as "Note 10:
Inventories" for one entity, and then for another entity it may appear as "Note 8: Inventories".
Given this, how does HandiLedger 2015 keep track of each Note? HandiLedger 2015 associates three numbers with each Note: a Print Number, a Registered Number, and an
Ordering Number.
How HandiLedger keeps track of each Note
HandiLedger 2015 keeps track of each Note using the Note's Registered Number, and its
Ordering Number (defined below). Effectively there are three numbers associated with each
Note:
Print Number – The physical note number to print in the Notes to the Financial Statements.
Registered Number - A unique number assigned to each Note. The Registered Number is stored in the HandiLedger 2015 program, and cannot be changed. HandiLedger 2015 identifies each note using the Registered Number.
Ordering Number – Dictates the order in which HandiLedger 2015 prints each note. The
Ordering Number is stored in the HandiLedger 2015 program, and should be adhered to.
Why are both a Registered Number and an Ordering Number used?
Both a Registered Number and an Ordering Number are required because HandiSoft's programmers may add new Notes into HandiLedger 2015. This would happen when an
Accounting Standard required an additional note.
Remember that the Registered Number of the existing Notes cannot be changed. Whenever
HandiSoft's programmers add a new note into HandiLedger 2015, they must assign the next available Registered Number to the Note. If HandiLedger 2015 only printed the Notes in the sequence of the Registered Number, any new note would print last, which may not be the correct place to display the note.
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Flexible Report Writer 2015 Notes and the Flexible Report Writer
Consequently, the Flexible Report Writer uses both the Registered Number and Ordering
Number. This enables the notes to display in the correct order.
Please refer to the following example.
Example
Consider the Extraordinary Items note. This Note has a:
Registered Number of 26
Ordering Number of 5
The start of the Flexible Report Writer report code that causes the Extraordinary Items Note to print reads as follows:
If (Note26) then
GroupStart ()
AddMainHeading ("Note 5: Extraordinary Items")
{other lines of report code}
GroupEnd ()
EndIf
Notice that the report code refers to both the Registered Number (i.e. "Note26" in the first line), and the Ordering Number (i.e. "Note 5" in the third line of the report).
The report code works as follows:
Line one of the report code checks to see if you have selected the Extraordinary Items
Note in the "Notes to Account Details" window. If you have, then the If statement's condition has been met, and HandiLedger 2015 will attempt to execute the report code contained within the If statement.
Line two indicates the start of a Group. The report code within the Group will only be executed if it would result in a value being printed.
Line three prints a heading for the note. The text that is printed is determined by the section of code:
("Note 5: Extraordinary Items")
Line four indicates the end of a Group.
Line five indicates the end of an If statement.
Registered numbers and Ordering numbers
The Registered Numbers and Ordering Numbers for the various entity types are listed below.
Registered Numbers – companies, partnerships, trusts, sole traders.
Registered Numbers – superannuation funds.
Note: The Registered Numbers and Ordering Numbers used by Superannuation funds differ from those used by all other entity types.
Notes - Company, Partnership, Trust, Sole Trader
Note Description Registered
Number
1 Statement of Significant Accounting
Policies
Revenue
Profit from Ordinary Activities
Income Tax
Extraordinary Items
2
3
4
26
4
5
2
3
Ordering
Number
1
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Chapter 7. Notes to the Financial Statements
Note Description
Reserves
Dividends
Cash Assets
Receivables
Inventories
Other Financial Assets
Tax Assets
Other Assets
Property, Plant and Equipment
Investment Property
Intangible Assets
Payables
Interest-Bearing Liabilities
Tax Liabilities
Provisions
Other Liabilities
Contributed Capital / Owners Equity /
Trust Capital
Remuneration and Retirement Benefits
Superannuation Commitments
Auditors' Remuneration
Contingent Liabilities
Capital and Leasing Commitments
Related Parties
Events Subsequent to Reporting Date
Financing Arrangements
Ultimate Parent Entity
Segment Information
Controlled Entities
Outside Equity Interests in Controlled
Entities
Economic Dependency
Effect of Changes in Accounting Policy
Debt Defeasance
Cross Guarantees
Put and Call Options
Trust Liabilities and Right of Indemnity
Notes - Superannuation funds
Note Description
Statement of Significant
Accounting Policies
Investment Revenue
Other Revenue
Movement in Net Market Value
General Administration Expenses
Income Tax Expense
Liability for Accrued Benefits
Vested Benefits
Guaranteed Benefits
32
33
34
35
36
39
Registered
Number
1
2
3
4
5
6
7
9
10
27
28
29
30
31
19
20
21
22
23
24
25
Registered
Number
10
37
9
11
40
12
13
18
7
8
6
5
14
38
15
16
17
Ordering
Number
1
2
3
4
5
6
7
9
10
35
36
37
38
39
40
Ordering
Number
11
12
13
14
15
16
17
6
7
8
9
10
18
19
20
21
22
30
31
32
33
34
23
24
25
26
27
28
29
Flexible Report Writer 2015
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Note Description
Forfeited Benefits
Related Party Transactions
Funding Arrangements
Cashflow Information
Financial Instruments
Notes and the Flexible Report Writer
Registered
Number
11
12
13
14
15
Ordering
Number
11
12
13
14
15
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