Managing Fund Accounting Reporting

This unit focuses on the reports that you can produce to help create financial statements and the reporting available for key figures.

In the trial balance apps, Fund Accounting reporting is available within the role of the 'GL Accountant'. The following display options are available for fully balanced financial statements:

• Balance sheets by Ledger (0L and 2L), which represent the various accounting principles according to the mapping discussed in the earlier units of this course.
• Balance sheets by Fund, Grant, and Segment.
• Profit and Loss Statements by Functional Area, Profit Center, Fund, Grant, and Segment.

The trial balance apps can be used to prepare legal reports according to country-specific layouts/requirements. Financial Statement versions can be used in support of such specific layouts.

In addition to the apps in the standard G/L role, the 'GL Accountant PSM US' (or *_CA) role, can be used to display important key performance indicators (KPIs) using the Funds Overview app. The app can be used to group and filter account assignment dimensions for Fund (and Fund Type), Grant (and Grant Type), Profit Center, and Segment as well as application-specific attributes such as Asset, Asset Class, Product Type, and Financial Position (and Financial Position Group).

The available apps and KPIs are described in this unit along with specific prerequisites for the definition of the KPIs.

The following apps are available in the role of the GL Accountant and can be used to display trial balances using Fund, Grant, Segment, Functional Area, and Profit Center dimensions:

• Trial Balance Comparison (W0097).
• Trial Balance (F0996 ).

The first app is explained in this unit. Because the second app is similar, it is not explained separately.

Using the Trial Balance Comparison (W0097) app, it is possible to display a trial balance by Fund and General Ledger Account, for example. This example is shown in the figure, Trial Balance Comparison app with display by Fund and G/L Account.

A multitude of additional dimensions for rows and columns are available.

An important feature is a structured/grouped display of General Ledger Accounts, as defined in the Global Hierarchy section for the Financial Statement Version (FSV) hierarchy ID. This is shown in the figure, Trial Balance Comparison app with display of Hierarchy for G/L Account. This concept will be explained in more detail in this unit.

A specific feature in Trial Balance Reports is the use of a Financial Statement Version (FSV). This can be maintained as a specific Hierarchy Type in the Manage Global Hierarchy app. This allows for a structured grouping of G/L accounts.

For US Public Sector Management, Financial Statement Version US - PSM is available, which contains a more US Governmental Accounting Standards Board (GASB) specific view of the Trail Balance.

In the figure, Manage Global Hierarchies app with display of Financial Statement Version, the FSV selected as Hierarchy in the Trial Balance Report shown earlier is displayed. Take note of the Semantic Tag column, which is an important feature for the Funds Overview KPI app that is explained later in this unit.

For more general information on maintaining FSV in Global Hierarchies and the use of semantic tags in other financial reporting, refer to the Finance documentation or learning units.

The Manage Global Hierarchy app also supports the grouping of other hierarchy types that can be used in reporting, for example:

• Fund Hierarchy
• Functional Area Hierarchy
• Grant Hierarchy

These hierarchies can also be used in trail balances to group according to internal and external reporting requirements (for example, ACFR)

The Funds Overview SAP Fiori app visualizes the FI Balances and Profit and Loss, Asset data, and Treasury and Risk Management data according to Fund, Fund Type, Grant, Grant Type, Profit Center, and Segment dimensions. This enables a public sector organization to perform efficient and reliable analysis of the financial information so that intelligent decisions and required actions can be taken.

The SAP Fiori tile displays key performance indicators (KPIs) in the areas of Balance Sheet items, Profit and Loss, Assets, and Treasury and Risk Management.

Four views with the following key features are delivered:

• Balances
• P&L
• Assets
• Treasury

Balances

• Balances for key KPIs such as Total Cash Balance and Total Fund Balance or Net Position of the current Fiscal Year and Total Open Supplier Invoice Amount and Total Open Customer Invoice Amount are visualized.
• You can also view the cash balance and fund balance cumulatively based on each fiscal period, for both reporting and comparison fiscal years.
• Trends plotted based on Balance Amount Changes Per Period of the current fiscal year and previous fiscal year can be displayed based on the selection of Total Cash Balance or Total Fund Balance or Net Position.
• These KPIs can be filtered by Profit Center, Segment, Fund, Fund Type, Grant, and Grant Type.
• Necessary definitions for these KPIs are described in the section on prerequisites for KPIs.

P&L

• Total Profit and Loss, Total Expense and Total Revenue for the current fiscal year provide a high-level overview of important KPIs in the area of Profit and Loss.
• You can also view the profit and loss, revenue, and expense amount details, based on each fiscal period for both reporting and comparison fiscal years.
• Bar charts based on Balance Amount Changes Per Period of the current fiscal year can be displayed based on the selection of Profit and Loss, Revenues, or Expenses.

The figure, Funds Overview - Profit and Loss (2), displays bar charts for the reporting year:

• Expense and Revenue by Account Assignment with Fund, Fund Type, Grant, and Grant Type.
• Expense and Revenue per Cost Center.
• Expense and Revenue per Project.
• Expense and Revenue per Functional Area.
• These KPIs can be filtered by Profit Center, Segment, Fund, Fund Type, Grant, and Grant Type.
• Necessary definitions for these KPIs are described in the section on prerequisites for KPIs.

Assets

• The Number of Assets KPI and bar chart with Number of Assets per Fund provide a high-level overview.
• Asset Details with Amount per Asset Class and Amount per Asset Class and Asset both display as a chart with Total APC as well as Net Book Value.
• These KPIs can be filtered by Asset Class.

Treasury

• The Total Debt and Total Investment KPIs provide a high-level overview.
• It is possible to view Debt Details and Investment Details with selections by Fund, Fund Type, Product Type, Financial Position, and Financial Position Group with the data presented in bar charts as well. Additional time charts with Debt History per Key Date and Investment History per Key date are also available.
• These KPIs can be filtered by Company Code, Product Type, Fund, and Fund Type.
• Necessary definitions for these KPIs are described in the section on prerequisites for KPIs.

Semantic Tags are used in the Balances and Profit and Loss views of the Funds Overview app and it is important to validate that they are assigned correctly to the Financial Statement Version selected.

Refer to the earlier lesson on financial statement versions in the Global Hierarchy app for a description of how to assign the above Semantic Tags.

The Define Financial Positions app, which can be used with the Treasury Risk Manager role, is used to define the Total Debt and Total Investment KPIs. It can also be used to define Debt Details or Investment Details by Financial Position and Financial Position Group. For example, in a first step, create/validate the following Financial Position Groups for Bonds (FPG_BD_*) and Money Market (FPG_MM_*) positions.

In a second step, using the same app, create/validate the financial positions and assign them to the financial position groups. Lastly, maintain the selection of Product Type, Transaction Type, Valuation Class, Valuation Area, and Posting Status, as specified in the last column.

The figure, Define Financial Positions shows how to follow the three steps and use the information provided in the tables in the Define Financial Positions app:

1. Maintain Financial Position Groups.
2. Maintain Financial Position Groups.
3. Maintain Selections.