Use this facility to forecast your Balance Sheet.
Dropdown menus on the toolbar allow you to select a Company, a Department or a particular View or a particular Time Series/Year eg the Budget or Last Year Time Series. The same views that are available via the P&L Account are also available via a dropdown on the Balance Sheet DRILLDOWN ">" (See separate help topic) Level 2 drill down is available on Fixed Asset, Factoring, Loan, Payroll Tax and other PYT/CHG method accounts
AUTO FORECAST By setting up various assumptions you can get the balance sheet to auto forecast itself meaning any changes to P&L data will feed through into the balance sheet and cashflow forecast The Balance Sheet Forecast is where you update your forecast of balance sheet accounts not updated from elsewhere within the model. Certain accounts in the Balance Sheet are directly updated from other parts of the model or from the balance sheet assumptions. The following accounts are not updateable within the Balance Sheet forecast: • Fixed Asset and Accumulated Depreciation is updated as and when the FA forecast is Recalc’d • Trade Debtor and Trade Creditor accounts are recalculated and populated directly by the model • VAT balances are recalculated and populated directly by the model • The PAYE/NIC creditor account can be set as %EMP is recalculated and populated directly by the model
Trade Debtor/Creditors The calculation can be based on Days: Debtor and Creditor days and which accounts are VATable are setup against each Sales or Cost Account in the P&L CM - Current Month Days - Current Months Days 0-30 days Invoice(CM)xDays/30 31-60 days Invoice(CM) + Invoice(CM-1)x(Days-30)/30 61-90 days Invoice(CM) + Invoice(CM-1) + Invoice(CM-2)x(Days-60)/30 > 90 days Invoice(CM) + Invoice(CM-1) + Invoice(CM-2))xDays/90 eg 45 Days - The current months invoices are o/s plus 15/30th of previous months sales Only after 90 days is the calculation based on a 90 day average You can use a Sales or Purchase Ledger adjustment account if this calculation does not produce the desired result
Fixed Assets You define the relationships between Fixed Asset Cost and Depreciation Accounts together with depreciation method and rate. As you add assets the depreciation will calculate itself in the P&L and Balance Sheet
Stock You can set stock to calculate on stock days
Accruals/Prepayments – Various PL accounts eg rent/rates can be setup with an ACCRUE method. This allows you to enter T account movements
Loans Loans can be setup in 3 ways • Set Method as LOAN. This provides T a/c functionality and allows you to forecast interest and repayments. Interest is charged to a 1INT system account • Set up a Financed Fixed Asset under Fixed Assets Drilldown. This sets up a LOAN Method Loan at same time as setting up asset • Set Method as PYT/CHG and allocate a related account. This provides T a/c functionality and allows you to forecast interest and repayments
Corporation Tax and Dividends The PYT/CHG method is also used on Corporation Tax and Dividends Payable accounts to provide T a/c functionality and allows you to set up a related P&L account
Factoring You can assign an 'other debtor' or 'other creditor' account to be a debt factoring (or invoice discounting) account by giving it a METHOD of FACTOR. This means that under the balance sheet you can drill down at CC level to a Factoring Template allowing you to set a % of trade debtor facility and to set a required overdraft or bank balance figure for your forecasts. You can also set a factoring limit. This automatically calculates the debtor facility drawdown within the overall facility % and overall limits.
rwallikerSite Admin Posts: 51Joined: Mon Dec 05, 2016 10:19 am