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Functional vs Natural Accounting

  • 1.  Functional vs Natural Accounting

    Posted 07-13-2018 12:07 PM
    ​​We need to report our expenses from a Functional and Natural perspective beginning with our new fiscal year.
    We are curious as to what tools other companies may be using for this.
    We have been told our options could be:
     - setting up additional accounts ( what implications are there if in the past we had ***-***-** format and now want to create ***-***-**-*** where the last three digits would be the categories we want to report off of)
     - Using Analytical Accounting ( I have heard this is a difficult product - what  kinds of experience do users have?)
     - Extender - can this be used on AP transaction line items?  can it be pulled into MR?





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    Susan Ziegler
    Mgr, Financial Systems
    Wisconsin Milk Marketing Board, Inc.
    Madison WI
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  • 2.  RE: Functional vs Natural Accounting

    GOLD CONTRIBUTOR
    Posted 07-13-2018 12:45 PM
    Hi Susan,

    Adding another segment to your chart of accounts is easy enough to do.  The problem, which you touched on, is the size of your COA.  You can use the professional tools library.  I create a column in Excel with Column A as the original account and B as the new account.  This won't actually help you if you have history with all the categories are in the same GL account.

    Analytical accounting can be useful for not having to generate a large COA.  Once turned on you will create another MR entity, which will then allow you to use the dimensions in your reporting tree.  They have improved AA with version 2018.

    I have not had great success with Extender when grids (distributions) are involved and I don't believe it can work with MR.

    Hope this helps a little.
    Mike

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    Michael Taranto, CPA
    President
    ERP Consulting, LLC
    Pataskala OH
    740-951-0220 mtaranto@erpconsultingLLC.com
    erpconsultingllc.com
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  • 3.  RE: Functional vs Natural Accounting

    Posted 07-13-2018 01:23 PM
    is this only for expenses?
    How will you allocate expenses to this new sub-account?
    Have you considered using fixed or variable allocations?



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    Habib Salim
    HSalim & Co. Inc.
    Bronxville NY
    https://pivotviews.com
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  • 4.  RE: Functional vs Natural Accounting

    SILVER CONTRIBUTOR
    Posted 07-16-2018 09:19 AM
    ​Can you simply use the account category ID?  Give accounts with the same function the same account category ID, then report off that.

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    Lucy Shows
    Director of Budgeting and Decision Support
    Hattiesburg Clinic P.A.
    Hattiesburg MS
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  • 5.  RE: Functional vs Natural Accounting

    Posted 07-17-2018 03:59 PM
    ​Thanks for the suggestions - we are going to use MDA as an interim solution for this fiscal year.
    During the next year we will evaluate the other options including Analytical Accounting.
    I hope to gain more knowledge at Summit!

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    Susan Ziegler
    Mgr, Financial Systems
    Wisconsin Milk Marketing Board, Inc.
    Madison WI
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  • 6.  RE: Functional vs Natural Accounting

    SILVER CONTRIBUTOR
    Posted 07-17-2018 04:10 PM
    ​You may want to consider Jet Reports. Easier to format reports for Reporting based on the need your describing.

    Jet Express for Excel with Microsoft Dynamics GP - Jet Reports
    Jet Reports remove preview
    Jet Express for Excel with Microsoft Dynamics GP - Jet Reports
    First, check to be sure you have the required software. Database: Microsoft Dynamics GP (Version 9.0 and Newer) Microsoft Office: Microsoft Office 2007, 2010, 2013, 2016, Microsoft Office 365 Desktop Edition Operating System: Microsoft Windows 10, Windows 8.1, Windows 8, Windows 7, Windows Vista, Windows Server 2008 through 2012R2 Prerequisites: Microsoft .NET Framework 4.5** **Microsoft .NET Framework will be installed with Jet Express.
    View this on Jet Reports >




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    Anthony Pearson
    Application Systems Administrator
    WellDyneRx Inc
    Tampa FL
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  • 7.  RE: Functional vs Natural Accounting

    TOP CONTRIBUTOR
    Posted 07-18-2018 12:55 PM
    ​Hi @Sue Ziegler

    ​AA does have its issues, but it works well for what we need, which is tracking expenses on projects for reporting purposes, and to make decisions on restricted funds spending. Many of those I've spoken with who have the biggest issues with AA are using it for project accounting to track revenues and liabilities, and AA does not handle those items as well.

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    Shari Bruno
    Accounting Operations Manager
    Bible League International
    Crete, IL
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