to create additional codes. Use these codes to link similar types of financial statement lines for use in the statement of cash flows. Each code must be unique.Use this screen to edit existing account types for cash flow accounts or to create new ones. You link cash flow account types to statement of cash flows rows on the Manage Financial Statements screen. The cash flow account types determine whether Costpoint treats transactions as a source or as a use of cash. You can also use this screen to set up the source and use descriptions. Each line on the statement of cash flows must have a unique cash flows account type.
Before you use this screen, you should determine which cash flow accounts you want to include on the statement of cash flows.
When you set up a cash flow account type, you assign a calculation method to it. The available calculation methods are system-defined. For example, you could assign the CHNG (Difference in Beginning and Ending Balance) to the AR (Accounts Receivable) account type. The CHNG method calculates the change that occurred in the account balance from one period to another.
There are system-supplied codes to identify sources and uses of cash, but you may need to add your own codes for any unique transactions that affect cash. The NA (Not Applicable) account type code is for financial statement lines that do not require analysis for cash flow purposes.
Review the account types on this screen before you begin work on your statement of cash flows. Adjust or add account types based on the types of transactions that your company makes.
The account type codes provided with Costpoint cover most cash flow needs. Click to create additional codes. Use these codes to link similar types of financial statement lines for use in the statement of cash flows. Each code must be unique.
Enter a description of the account type to identify the cash flow transactions linked to the account type. If necessary, you can change the default descriptions for the account types provided with Costpoint.
Click 
to select the type of calculation that should be performed for the account type. You cannot change these descriptions.
The selection of a calculation method is critical to the successful implementation of your statement of cash flows. For accounts such as the AP and AR accounts, most companies select Diff in Beg. & Ending Balance (CHNG) as the calculation method, and for long term assets, they select Sum all account debit amounts (DBT).
The following are some commonly used calculation methods:
BAL (Account Balance) — The entire balance in the account displays on the statement. The amounts come from the FS_SUM table. The amounts in BEG_AMT and the PD_X_AMTs are summarized up to and including the period entered on the Create Preliminary Cash Flow Statement screen. Use this calculation method for net income adjustments such as depreciation or amortization.
CHNG (Difference in Beginning and Ending Balance) — The activity in the account is summarized and displayed on the statement. Costpoint calculates this amount by subtracting the sum of the amounts in PD_X_AMT in the FS_SUM table (up to and including the period entered in the Create Preliminary Cash Flow Statement screen) from the amount in BEG_AMT in the FS_SUM table. Use this calculation method for analysis of current assets and liabilities.
DRCR (Sum Debits/Credits Separately) — This calculation method separately summarizes the debits and credits in the GL_POST_SUM table. (The debit and credit amounts are displayed separately on the statement of cash flows.) Use this method for payments and draws on a line of credit.
SALE (Sale of Assets) — This calculation method is specifically designed for the sale of assets. When you assign this method, the activity type on the Manage Financial Statements screen becomes non-editable. This method first displays the entire balance in the account in the operating section. It also retrieves amounts from the GL_POST_SUM table that have CR (cash receipts) in the S_JNL_CD column. These amounts display in the investing section as Proceeds from sale of assets.
CASH (Cash and Cash Equivalents) — Use this calculation method for the Cash and Cash Equivalent lines/accounts. Cash flow account types to which you assign CASH as the calculation method do not display in the main section of the report. Lines or accounts that use this calculation method display at the bottom of the statement as Beginning and Ending Cash and Cash Equivalents. The Create Preliminary Cash Flow Statement screen ignores lines/accounts with this calculation method. The Create Preliminary Cash Flow Statement screen creates the tables necessary to print a statement of cash flows. Costpoint sets the calculation method description and activity type on the Manage Financial Statements screen to Not Applicable.
CR (Cash Receipts Only) — Only amounts that have CR (cash receipts) in the S_JNL_CD column in the GL_POST_SUM table are evaluated. All amounts in GL_POST_SUM_AMT are totaled, up to and including the period entered in the Create Preliminary Cash Flow Statement screen. This method of calculation is appropriate for an account that is required to display only the cash receipts information for inclusion on the statement of cash flows.
DBT (Sum All Account Debit Amounts) — Costpoint uses the GL_POST_SUM table to calculate these amounts. You can use this code for analysis of fixed asset accounts or any other asset account. A fixed assets account can use this calculation method to record all fixed asset purchases. To perform the calculation, all the debits to the accounts are summed to arrive at the amount displayed on the report. Amounts derived from this calculation method are classified as a use of funds.
CD (Cash Disbursements Only) — This code is designed for cash disbursements. It is mainly used with long-term asset and liability accounts. This calculation method summarizes all debits to the accounts payable account with APV or PO in S_JNL_CD. Amounts derived from this calculation method are classified as a use of funds.
CRDT (Sum All Credit Amounts) — This calculation method evaluates only credits to the accounts. Costpoint uses the GL_POST_SUM table to calculate these amounts. All credits to the account are summed to arrive at the amount displayed on the report.
This field displays the calculation method code for the entry in Calculation Method Description for this row.
Use this drop-down list to indicate whether Costpoint should use the source description or the use description. The valid options are:
Source Code — Select this setting if positive amounts are sources of cash.
Use Code — Select this setting if positive amounts are uses of cash.
Changing these codes causes the selected cash flow amounts to reverse signs (+/-). The NA account type is never included in any calculation of cash flows.
To determine the correct setting for this code, you must assess the outcome of the calculation. Using the calculation method assigned to the account type, determine whether a positive result is a source or use of cash.
Enter the description to display when the outcome of the calculation is a source of cash.
Enter the description to display when the outcome of the calculation is a use of cash.
Select this check box to include the description of the financial statement line along with the source description or use description. You can select this check box only when a description exists in both the Source Description and Use Description fields.