Financial Reporting Training. Office of the Controller

Transcription

1 Financial Reporting Training

2 Agenda 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

3 What is Accounting? Accounting is a systematic way to identify, measure and communicate the economic impact of events, such as activities that generate inflows and outflows. Accounting is a self-balancing process which measures: 1. Financial Activity: REVENUES and EXPENSES for a period Income = Revenues Expenses AND 2. Financial Position: BALANCES on a cumulative basis at a certain date Positive balances which will provide future benefits are ASSETS Negative balances which represent future obligations are LIABILITIES

4 What is Accounting? Example of Economic Event: FIU provides educational services to students. 1. The University has the right to collect fees from students (Revenues) but must also pay faculty to render the services (Expenses). AND 2. The University collects the cash from the student and pays cash to the professor, resulting in a net positive cash (Asset) balance at the end of the period

5 Why fund accounting Each fund : Activities are segregated by funding source is Restricted in its uses by statute is Allocated a Budget that cannot be overspent Currently, within each fund, activities are further segregated by Organizations and Departments that identify which unit/college is responsible for performing the activity and the specific nature of the activity (e.g. College of Business puts on the FIU Online Conference).

6 Which funds does FIU have? E&G Educational and General AUX Auxiliary Enterprises C&G Contracts and Grants Agencies FA /FinAid Financial Aid/ Scholarships Student-Related Activities Concessions

7 Which Entities does FIU have? Entities affiliated to the University: FCN01 FIU01 AP Construction FIU01 Florida International University FIU02 FIU Foundation: administers donations for the purpose of the advancement of FIU. Considered a Non-for-profit entity, not a governmental entity. FIU03 Wolfsonian Inc. FIU04 FIU Research Foundation FIU05 FIU Athletic Finance Corp FIU06 FIU Health Care Network FIU07 FD Enterprise Holdings I, LLC. FSR01 Office of Sponsored Research FSR04 FIU Research Foundation

8 Revenues = Money coming in Operating Revenues are generated from providing goods or services in the normal course of operations to customers. Non-Operating Revenues are for incidental activities, such as investment earnings. In fund accounting, revenues are recognized when measurable and available to spend, the earlier of: When collected in cash using cash basis (e.g. conference registration fees collected now for an event to occur in the future) OR When earned using accrual method (e.g. student registers for classes now but tuition payment is not due to University until later) NOTE: Revenues which have not been collected are classified as receivables until they are collected in cash (e.g. the University has a receivable from a student until his/her student account is paid to the University).

9 Expenditures = Money being spent Costs incurred in efforts to generate revenues, classified as: Expenses if the payment provides immediate benefits (e.g. salaries, travel) Capital if the payment provides long-term benefits (e.g. tangible assets with longer lives such as equipment). NOTE: In accounting, all expenditures for goods and services are recorded in the fiscal year that they occur using accrual method At the operating fund level, expenditures are treated as expenses and those subject to capitalization are accounted for in another fund. Expenses which have not been paid are classified as payable until they are paid in cash (e.g. invoices from vendors with certain number of days to pay).

10 Sources of Revenues and Expenses Revenues: Student Financials (tuition, other student fees) Cashiers (cash/credit card deposits) Expenses Payroll (salaries and benefits actual and accruals) Voucher (operating and capital expenses) Commodity Card (operating expenses) Interdepartmental charges with no approval required (phone, printing, overhead) Interdepartmental charges with approval required (facilities maintenance) In both cases, re-classes of revenues and expenses from one department to another or from one account to another should be requested via an Inter-Departmental Transfer Form.

11 Income and Financial Position Remember the results of accounting? 1. Income measures net operations earned during the period Income = Revenues Expenses 2. Fund Balance is the net financial position at the end of the period. It represents what resources you have left to spend in the short-term: Cash + Receivables Payables = Fund Balance Beginning Fund Balance + Income + Cash Coming In Cash Going Out = Ending Fund Balance

12 Example College creates a new program to begin 7/13/xxxx Assets - Liabilities = Net Assets Cash + Receivable - Payable = Fund Balance Balance at 6/1/xxxx $ - $ - $ - $ - Start-up funding from another department $ 10,000 $ 10,000 Cash In 26 Students register for classes $2000 each due 7/1 $ 52,000 $ 52,000 Revenue New Program Manager is paid for 2 periods 6/1-6/14 $ (2,520) $ (2,520) Expense Purchase of laptop for new PM $ (1,200) $ (1,200) Expense New Program Manager is paid for 2 periods 6/15-6/28 $ (2,520) $ (2,520) Expense Payroll accrues 2 days in June 6/29-6/30 $ (360) $ (360) Expense Balance at 6/30/xxxx $ 3,760 $ 52,000 $ (360) $ 55,400 Student pays for classes $ 52,000 $ (52,000) $ - Expense Program Manager is paid for period 6/29-7/12 $ (2,520) $ (2,520) Expense Reverse accrual for 2 days in June, liability paid $ 360 $ 360 Expense Buy food for students for July, payment not due until 8/5 $ (4,000) $ (4,000) Expense PM paid for period 7/13-7/27 $ (2,520) $ (2,520) Expense Faculty paid for period 7/13-7/27 $ (3,880) $ (3,880) Expense Pay back start-up funding $ (10,000) $ (10,000) Cash Out Balance at 7/1/xxxx $ 36,840 $ - $ (4,000) $ 32,840

13 Example (Continued) June July Beginning Fund Balance $ - $ 55,400 Revenues $ 52,000 Expenses Salaries and Benefits $ 5,400 $ 8,560 Operating Expenses $ - $ 4,000 Other Capital Outlay $ 1,200 $ - Total Operating Expenses $ 6,600 $ 12,560 Income (Loss) $ 45,400 $ 42,840 Tuition 26* $2000 $2520 $2520 $ 360 $5400 Laptop $1200 Departmental Loan $ 2520 $ 2520 $ 3880 $ (360) $ 8560 Food $4000 Transfer In $ 10,000 Transfer Out $ (10,000) $ 55,400 $ 32,840 Loan Payback

14 Agenda 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

15 What is a Budget? Management plan for meeting probable revenues and expenses for a given period of time Serves as a control mechanism to match anticipated and actual revenues and expenditures

16 Budget Transfers Budget Transfers This is used to transfer Budget Dollars from one Department or Project ID to another. Departments can initiate a transfer between accounts as needed, while Projects are requested through OSRA. Because the PeopleSoft System Tracks Budgets, transfers between accounts are not necessary, however if a transaction becomes stuck in the Budget Check process within the system, this will correct the problem.

17 Transfers Transfers Out are not Expenses AND Transfers In are not Revenues Department A Department B Cash Transfer CASH CASH Departmental Expense A Departmental Expense B Budget Transfer BUDGET EXPENSE OR Department A Department B Budget Transfer BUDGET EXPENSE Departmental A Departmental B ID Transfer EXPENSE EXPENSE

18 Smart Internal Billing Process Items are defined by Billing Department Invoice is created by Bill Creator Bill Approver reviews and approves invoice Receiving Approver reviews and approves invoice Journal is generated and posted

19 Budgetary Accounts Categories used at FIU Category Revenue Permanent Salaries and Benefits Other Personal Services (OPS) Other Operating Expenses Operating Capital Outlay (Assets $5000) Cash Transfers In & Out Examples Sales of Goods or Services Rental Income Sponsorship Revenues Faculty, Staff, Administrative Salaries Benefits Temporary Employees Student and Graduate Assistants Adjunct Faculty Travel Expenses Office Supplies Repair and Maintenance Personal Computers Furniture Repair and Maintenance Transfers to Construction Start-up Costs for other departments

20 Budget Cycle for FIU Prior Year Preliminary Phase Implementation Phase Review Phase Budget Posted July February February April April May End of June Current Year Monitoring Phase July June

21 Agenda Update 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

22 The nvision reporting tool Provides real-time financial reporting capability. Extracts requested financial data from PeopleSoft. Places it into an Excel spreadsheet where it can easily be reviewed and manipulated. Template or style sheet Report Request Keyed to Business Unit Includes saved parameters Rules for generating reports for slices of the data Layout Scope

23 Reporting nvision Elements Microsoft Excel Microsoft Excel is the backbone of nvision reporting. nvision facilitates the retrieval of information from PeopleSoft databases into a Microsoft Excel spreadsheet. The Layout of the Report The Layout of the Report is a Matrix or Tabular Excel spreadsheet. The Ledger Tables Layouts retrieve data from a ledger. This could be Actual, Budget or Forecast Ledgers. The ledger tables have five major data components: Business Unit Ledger Chartfields (Account, Department and Project ID, Program, Fund, Site or Class. Additionally for Projects PC Business Unit and Activity) Period and Year Net Posted Amount Actual transactions and Budget Transactions are stored on two separate tables. Actuals data is on the LEDGER table Budget data is on the LEDGER_KK table

24 Reporting nvision Elements Continued Time Spans Time Spans control the number of data periods extracted from the ledger table and summarized. Trees Trees are used to create hierarchical structures that visually represent a set of summarization rules for a particular field. The summarization rules depicted in a tree apply to the detail values of a particular field departments, accounts, funds, vendors, customers or other values the University defines.

25 Reporting nvision Variables Report Variables Provide information about he current nvision report such as the Business Unit, Report ID/name, Title, Layout Name, Operator ID, etc. Date and Time Variables Provide information about the Date of the Report, the Tree, the Fiscal Year Accounting Period, etc. Scope Variables Provide information related to the scope definition used in the nvision report such as the Scope Field Value or description (i.e., department id or name)

26 Reporting nvision Time Spans Time Spans The Time Span controls the number of data periods extracted from the ledger tables and summarized. Typical Time spans provided with PeopleSoft General Ledger include: PER Period Retrieves only activity for the period selected (1=July, 2=Aug, etc.) YTD Year to Date Includes year-to-date amount for items selected. BAL Balance Retrieves life-to-date amounts (balance forward amounts) for balance sheet accounts. Time spans are often expressed relative to current period, so that they automatically adapt the content of a report to the As of Reporting Date specified when the report is executed.

27 Reporting nvision Scope Scope The Scope feature allows you to create multiple instances of a report using a single report request. PeopleSoft Database Single PS nvision report Instance PS nvision Report Layout Multiple PS nvision report Instances

28 Reporting nvision Scope Continued Scope A Scope can be on one Chartfield and one value as well as many Chartfields and any values A Scope can be built on single values or tree nodes. This is a single value scope:

29 Reporting nvision Scope Scope This Scope includes Department and Fund Trees: This Scope can be copied to another and change the fund node to: OTHER_UNRESTRIC_FUND

30 Agenda Update 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

31 Users Aggregate level Report CFO / BOT OFP EABM Fund College/Unit Fund Fund Exec Area VA Report E&G and Non E&G: AS report* Non Athletics: AS report Athletics: AI Report ABM DeptID E&G : DI report Non E&G: XA report *A modified version of the AS showing subtotals per EA and College is being tested

32 Reports Inventory: Variance Analysis The VA Report The Columns come from Ledgers and use Time Spans The Rows come from Chartfields

33 Reports Inventory: Variance Analysis The AS report Variance Categories: Perm. Salaries OPS OCO OOE Total Expenses Revenue

34 Reports Inventory: Variance Analysis The XA report

35 Reports Inventory: Variance Analysis The DI report

36 nvision Financial Reports Variance (Budget vs. Actual) Reports Type of Report Description of the Report Before Now Detail Transaction Reports Detail transaction data for committed (enc & pre)/ paid expenses as well as budget by Dept ID DT DT Detail variance by account with a subtotal by account rollups ( S&B, OCO,OPS, OOE) for a single Dept ID Detail variance by account with a subtotal by account rollups ( S&B, OCO,OPS, OOE) for a single E&G Dept ID DI DO DI Summary Reports Detail Inflow (revenue, fund balance & transfers in) and Outflow (Expenses and transfers out) variance with subtotals account and account rollups XA XA Detail Inflow (revenue, fund balance & transfers in) and Outflow (Expenses and transfers out) variance with subtotals account and account rollups for an Athletics dept AI AI

37 nvision Financial Reports Variance (Budget vs. Actual) Reports Type of Report Description of the Report Before Now Actual and budget information for Salaries & Benefits for a range of Dept ID with a subtotal by Dept ID and funding ES source Executive Summary Actual and budget information for Other Capital Outlay for a range of Dept ID with a subtotal by Dept ID and funding source Actual and budget information for Other Personnel Services for a range of Dept ID with a subtotal by Dept ID and funding source Actual and budget information for Other Operating Expenses for a range of Dept ID with a subtotal by Dept ID and funding source EC EO EE AS* Actual and budget information for all expenses for a range of Dept ID with a subtotal by Dept ID and funding source DS Actual and budget information for revenues for a range of Dept ID with a subtotal by Dept ID and funding source AS *Note: The revenue section is collapsed

38 Agenda Update 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

39 Audience Reports Inventory: Available Balance Aggregate level Report CFO OFP EABM ABM DeptID Fund Exec Area Fund College/Unit Fund DS Report E&G and Non E&G: DS Report E&G and Non E&G: DS Report Budget Overview Budget Status Report

40 Reports Inventory: Available Balance DS Report

41 Reports Inventory: Available Balance DS Report Budget Reconciliation

42 Reports Inventory: Available Balance ES Report

43 nvision Financial Reports Available Budget Detail Budget status Report Available Balance detail by Budget account DI Budget Status* Salaries Executive Summary Salaries & Benefits Available Balance ES ES OCO Executive Summary Other Capital Outlay Available Balance EC EC OPS Executive summary Other Personnel Services Available Balance EO EO OOE Executive Summary Other Operating Expenses Available Balance EE EE Executive Summary Exec Sum by Dept DS DS *Note: The Budget status report is NOT an nvision report. A tutorial is available online (UPK) on how to run it at

44 Agenda Update 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

45 Ledger Group Crystal Reports Inventory: Available Balance Budget Status Report CC_DEP (Department Child) CC_PRD (Department Parent) CC_REV CC_PG (Project Child) CC_PID CC_PRP (Project Parent) Description Expense budgets, expenses, encumbrances & preencumbrances for Departments* or Activity Numbers by detail Budget Account Expense budgets, expenses, encumbrances & preencumbrances for Departments* or Activity Numbers by Parent Department Budgeted, collected and recognized revenues Expense budgets, expenses, encumbrances & preencumbrances for project by detail Budget Account Expense budgets, expenses, encumbrances & preencumbrances for Departments* or Activity Numbers by detail Faculty Allocation Expense budgets, expenses, encumbrances & preencumbrances for projects by Parent Project ID * Organizational Unit

46 On-Line Inquiries - Reports Inventory: Available Balance Budget Overview Detail View

47 On-Line Inquiries - Reports Inventory: Reconciliation Budget Overview: Drill to Activity Log

48 Reports Inventory: Reconciliation Budget Overview: Drill to Activity Log

49 On-Line Inquiries - Reports Inventory: Available Balance Budget Overview Parent View

50 On-Line Inquiries - Reports Inventory: Available Balance Budget Overview Detail View

51 Reports Inventory: Reconciliation Budget Overview: Drill to Activity Log

52 SQR Reports Inventory: Available Balance Budget Status Report

53 SQR Reports Inventory: Available Balance Budget Status Report

54 Agenda Update 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

55 Useful Queries Query Name REQUISITION_WORKFLOW_ROUTING FIU_DEPT_APPROVERS FIU_GL_TRANDATA_BYDATE FIU_GL_DEPT_PROJ_LOOKUP Description List of employees involved in approving a requisition by Requisition ID Lookup Expense Managers 1 & 2 (Approvers) and Organizational department by Dept ID Detail transaction data for committed (enc & pre)/ paid expenses as well as budget by Dept ID Lookup Fund / PCS/ Class associated with a Dept ID or Org dept/fund/class/pcs/pcbu/activity for a project

56 Query Data

57 Reports Inventory: The DT report

58 Tables to Know for Queries

59 Agenda Update 1. Accounting Review 2. What is a Budget and General Budget Concepts 3. nvision Financial Reports: Define nvision Variance Analysis Available Budget 4. Budget Inquiries & Budget Status Report 5. Overview of some useful Queries 6. Drill down 7. Running Queries & nvision in the Reporting Database

60 Drill Down STEP 1 (One time): Follow instructions found at

61 Drill Down Step 2: Open the nvision report and select the cell you would like to get transaction details on

62 Drill Down Step 3: Call the drill down Add-in

63 Drill Down Step 4: Select type of drill down 1 2

64 Drill Down Step 5: Pickup the report

65 Questions?

66 Open Lab