80951AE: Finance Advanced in

Koen Stox
September 2016

Microsoft Dynamics NAV 2017

 Course Overview
• Module 1: Intrastat
• Module 2: VAT Rate Change Tool
• Module 3: E-Services and Document Management
• Module 4: Multicurrency
• Module 5: Budgets
• Module 6: Cost Accounting
• Module 7: Cash Flow Forecast
• Module 8: Financial Reporting and Analysis
• Module 9: XBRL
Module 1
Intrastat
Intrastat - Overview
• What?
• Setting up Intrastat
• Reporting process
Intrastat – What?

Collecting information and producing statistics on the trade in

goods between countries of the European Union (EU).

5
Intrastat – What?
• 1993
• Replacement customs declaration a source trade statistics
• Same requirements for all EU members…
• …but some important exceptions
• Thresholds per country:
• Example: 2016 Germany:
• € 800,000 arrivals (import)
• € 500,000 dispatches (export)
• Below these amounts generally no Intrastat requirement
• More info: check per country

6
Set Up Intrastat
• Tariff numbers
• Transaction types
• Transport methods
• Transaction specifications
• Entry/Exit points
• Areas
• Country codes
• Items

7
Report Intrastat
• Create Intrastat Journal Batch
• Statistics period: YYMM

• Get Item Ledger Entries batch job

• Report
• Print to Form
• Electronically
• Separate report for receipt and shipment

8
Intrastat - Review
• Setting up Intrastat
• Reporting process
Module 2
VAT Rate Change Tool
VAT Rate Change Tool - Overview
• Prepare for the VAT Rate Change Tool
• Using the VAT Rate Change Tool
Prepare for VAT Rate Change Tool
• Create new posting groups
• Separate different VAT rates into different groups
• Reduce the number of documents that are converted
• Back up data
Prepare for VAT Rate Change Tool
Reduce the number of documents that are
converted
• Sales & Purchase Orders

Exceptions
• Prepayments
• Drop Shipments and Special Orders
• Warehousing
• Service Contracts
VAT Rate Change Tool - Review
• Prepare for the VAT Rate Change Tool
• Using the VAT Rate Change Tool
Module 3
E-Services and Document Management
E-Services and Document Management - Overview
• Incoming Documents
• OCR for Microsoft Dynamics NAV
• Sending Electronic Documents
• PEPPOL - Setup
• Sending and Receiving Electronic PEPPOL Documents
Incoming Documents
• Record external documents in Microsoft Dynamics NAV:
• Manually
• Automatically
• Use OCR to turn PDF’s or images into electronic documents
• Create new documents or general journal lines for incoming
document records:
• Manually
• Automatically
• Attach incoming document files to purchase and sales
documents
• View incoming document records and their attachments
Incoming Documents – Manual Creation

General
General Journal
Journal
Sales Invoice/CM
Purchase Invoice/CM
Incoming Documents - Setup
• Incoming Documents:
• Journal Template & Batch
• Approval
OCR Service for Microsoft Dynamics NAV
• Optical Character Recognition (OCR)
• Header
• Lines
• Generate electronic documents
• Convert to documents in Microsoft Dynamics NAV
• Send to Lexmark ICS:
• From Incoming Documents
• By e-mail
• Integrate in workflow
• Train ICS to avoid errors
OCR Service Setup
• OCR Service:
• External provider of OCR services
• Encrypt data
• ReadSoft Online User
• Authorization Key
• Default OCR Doc. Template
Lexmark ICS Account
• Register at https://store.readsoftonline.com/nav/
• Freemium account:
• 75 invoices per month
• Additional invoices: $1 / €0.89 / £0.70
• Dynamics NAV Partner
• Configure “My Plan”:
• Require Verification
• Email document type
OCR Line Recognition
• Lexmark ICS: Configure “My Plan”:
• Require Verification
• Email document type
• Vendor Item Cross References
Lexmark ICS – Automatic Invoice Creation
• Step 1: Create incoming document
• Step 2: Send to Lexmark ICS:
• From NAV
• By email
• Step 3: Receive from Lexmark ICS
• Step 4 (optional): verify data online
• Step 5 (optional): correct OCR data in NAV
• Step 6: Create document
Sending Electronic Documents
• Invoices and credit memos
• PEPPOL format (Pan European Public Procurement Online)
• Document Exchange Service Provider
• Document Sending Profiles
• Master data:
• Company Information
• Customers
• Items
• Units of Measure
Sending Electronic Documents - Setup
• Company Information:
• GLN Identifier
• VAT Posting Setup
• Tax Category (UNCL5305 standard)
• Countries/Regions
• VAT Scheme
• Units of Measure
• International Standard Code (UNECE Rec 20 standard)
• Electronic Document Format
• PEPPOL
• Codeunit that processes the exchange
Sending Electronic Documents - Setup
• Document Sending Profile:
• Sending options
• Post and Send
• Default
• Customer
• Customer
• GLN
• Document Sending Profile
Send & Receive Electronic Documents through Provider
• Invoices and credit memos
• PEPPOL format (Pan European Public Procurement Online)
• Document Exchange Service Provider (Tradeshift)
• Document Sending Profiles
• Master data:
• Company Information
• Customers
• Items
• Units of Measure
Send & Receive Electronic Documents through Provider - Setup
• Tradeshift accounts:
• Two accounts (sending and receiving company)
• Sandbox: https://sandbox.tradeshift.com/register
• GLN number
• App: API Access to own Account
Send & Receive Electronic Documents through Provider - Setup
• Sending Company:
• Company Information
• Items: GTIN (Global Trade Item Number)
• Units of Measure
• Tax Categories (VAT Posting Setup)
• Countries/Regions
• Document Sending Profiles
• Customer: based on Tradeshift account
• VAT Registration No.
• GLN
• Document Sending Profile
Send & Receive Electronic Documents through Provider - Setup
• Sending Company:
• Document Exchange Service Setup:
• Set URL’s to Default
• Tradeshift API Access
Send & Receive Electronic Documents through Provider - Setup
• Sending Company:
• Document Exchange Service Setup:
• Set URL’s to Default
• Tradeshift API Access
• Demo: Service URL = https://api-sandbox.tradeshift.com/tradeshift/rest/external
• Demo: Job Queue -> 1 minute
Send & Receive Electronic Documents through Provider - Setup
• Receiving Company:
• Company Information
• Items: GTIN (Global Trade Item Number)
• Units of Measure
• Tax Categories (VAT Posting Setup)
• Countries/Regions
• Document Sending Profiles
• Vendor: based on Tradeshift account
• VAT Registration No.
• GLN
• Document Sending Profile
• Purchases & Payables Setup: G/L account for non-item lines
Send & Receive Electronic Documents through Provider - Usage
• Send a sales invoice as PEPPOL invoice:
• Post & Send
• Posted Invoice: Activity Log
• Job Queue Entries
• Create a purchase invoice from received PEPPOL invoice:
• Incoming Documents
• Data Exchange Type
• Create Document
Module 4
Multicurrency
Multicurrency - Overview
• Currency Card
• Currency Exchange Rates Services
• Set Up Multicurrency for Customers, Vendors, and Bank
Accounts
• Process sales and purchase documents, and journals
• Adjust Exchange Rates batch job for customers, vendors, and
bank accounts
• Process Payments and Cash Receipts
• Set up and use the additional reporting currency
• Adjust Exchange Rates batch job for G/L accounts
Currency Card
• Local Currency (LCY):
• General Ledger Setup
• Foreign currencies:
• Currency code
• G/L accounts exchange rate differences
• Rounding parameters
• Exchange rates:
• Manually
• Currency Exchange Rate Services
Currency Exchange Rate Services
• Exchange rates:
• Manually
• Currency Exchange Rate Services
• Different services possible
• Enable Job Queue Entry
Process Sales and Purchase Documents

Update the
Currency Code Edit the Currency
when documents are Exchange Rate
entered

Display amounts in View posted

both currencies in amounts in both
statistics windows currencies
Adjust Exchange Rates

1
Enter adjustment
exchange rate on
the currency

2
Set filters on the
batch job

3
Run the batch job
Process Cash Receipts: Restrictions Based on Currencies

Bank Account Currency Printing and Posting Rules

Code

Blank (LCY) Post receipt lines with any currency code including LCY

Currency Code Post only those receipt lines with the same currency code as the bank
account.
Process Payments: Restrictions Based On Currencies

Bank Account Currency Bank Payment Type Printing and Posting Rules
Code Field Contents
Blank (LCY) Computer Check or Print only those checks for LCY payment lines. Post only
Manual Check LCY payment lines.
Blank (LCY) Blank Post payment lines with any currency code including
LCY
Currency Code Computer Check or Print only those checks with payment lines where the
Manual Check currency code is the same as the Bank Account; post
only those payment lines with the same currency code
as the bank account.
Currency Code Blank Post only those Payment lines with the same currency
code as the bank account
Set Up Additional Reporting Currency

Required setup:
• Select G/L accounts for posting exchange rate adjustments

• Specify the exchange rate adjustment method for G/L accounts

• Specify the exchange rate adjustment method for VAT entries

• Enable the additional reporting currency

Multicurrency - Review
• Set up multicurrency
• Process sales and purchase documents, and journals
• Adjust Exchange Rates batch job for customers, vendors, and
bank accounts
• Set up and use additional reporting currency
• Adjust Exchange Rates batch job for G/L accounts
Module 5
Budgets
 Budgets - Overview
• Setting up Budgets

• Create Budgets Manually

• Copy Budget

• Export and Import Budgets

Budgets in Microsoft Dynamics NAV

Sales Purchase
G/L Budgets Cost Budgets
Budgets Budgets

Use dimensions
Copy budgets
Excel export/import
Export and Import Budgets
Integrate in reports
General Ledger Budgets

• Budget = overview of planned expenses and revenues

• Budget feature includes the following:

• Create multiple budgets for identical time periods
• Create simple or complex budgets by selecting a combination of G/L
account, period, the two global dimensions, and four budget dimensions
• Copy budgets from previous periods and revise actual figures or budget
figures by using an adjustment factor
• Export budgets to and import budgets from Microsoft Excel
Copy Budgets
• Source:
• Existing budget
• Actuals
• Target:
• Same budget
• Other budget
• Apply:
• Adjustment factor
• Date change formula
Exporting and Importing Budgets
• Export Budget to Excel batch job
• Use Excel to modify and add to the budget
• Create new budgets based on the exported budget figures
• Import Budget from Excel batch job
• Import previous exported budgets
• Create new budget entries
• Add budget entries to an existing budget
Module 6
Cost Accounting
Cost Accounting - Overview
• Cost Account versus General Ledger Accounting
• Workflow in cost accounting
• Master Data in cost accounting
• Setting up cost accounting
• Cost entries
• Cost journals
• Cost budgets
• Cost allocations
• Cost accounting history
Cost Account versus General Ledger Accounting
General Ledger
• To fulfill legal requirements is the first priority
• All recorded postings have to be based on actual documents
• Balance accounts and profit & loss accounts

Cost Accounting
• To understand the structure of your costs is the first priority
• Transfer G/L postings to the cost accounting as a starting point
• Add calculatory costs at will
• Focus on profit and loss only
Workflow in Cost Accounting

Cost
Accounting

Set up Cost
Types, Centers,
Objects
Cost Center Cost Object
Accounting: Accounting:

Chart of cost types Transfer costs Chart of cost objects

Post costs in
Allocations from general Allocations
cost journals
Cost Journals ledger Cost Journals
Cost center budget Cost object budget
Cost analysis Cost analysis
… Allocate Costs …
from Cost
Centers to
Objects

Create Cost
Reports
Master Data in Cost Accounting – Cost Types

Chart of Cost Types

• Similar to COA in the General Ledger
• G/L Account Range:
• 1/1
• 1/n
• Relationship Cost Types <-> G/L Accounts
• No Relationship Cost Types <-> G/L Accounts
• Account of the operational accounting
• Helping Cost Types for allocations
• Actual Accruals helping account (difference cost – expense)
Master Date in Cost Accounting – Cost Centers

Chart of Cost Centers

• Dimension code as Cost Center (setup)
• Cost Subtype: only for information
• Sorting Order:
• Only 1 level of Begin- and End-Totals
• In the Totaling field: range uses (|) and not (..)

56
Master Date in Cost Accounting – Cost Objects

Chart of Cost Objects

• Dimension code as Cost Object (setup)
• Sorting Order:
• Only 1 level of Begin- and End-Totals
• In the Totaling field: range uses (|) and not (..)

57
Cost Entries

Automatic tranfer of Manual cost

general ledger posting using cost
entries journals

Transfer of budget
Automatic
entries to actual
allocation postings
cost entries
Transfer G/L Entries to CA
• Batch job or automatically after posting
• Batch job:
• All non-transferred G/L entries
• Based on Starting Date for G/L Transfer
• Rules for transfer:
• Only G/L Entries with Cost Center or Cost Object
• When both: Cost Center takes precedence
• G/L Entries with amount of 0: not transferred
• Only Income Statement G/L accounts
• Combined entries if possible (day, month)
• Closing dates are not transferred
Cost Journals
• Pure cost entries
• Internal charges between cost centers
• Manual allocations
• Corrective entries between:
• Cost Types
• Cost Centers
• Cost Objects
Cost Budgets
• Create as many cost budgets as you want
• Provide functionality similar to that of the general ledger budget
• Copy the cost budget to the general ledger budget
• Copy the general ledger budget to the cost budget
• Transfer budgeted costs to actual costs
Cost Allocation
• Allocate actual or budget values
• Static allocations by using either fixed shares or percentages
• Dynamic allocations with 10 predefined allocation bases and
12 dynamic date ranges
• A total of 99 allocation levels
• Use as many allocation variants as you want
• Allocations with expiration date ranges
• Freely define allocations between cost types, cost centers, and
cost objects
Cost Accounting Reporting
Report Description Important Filters
Cost Acctg. Journal Entries per cost type Cost Center, Cost Object,
Date
Cost Acctg. Statements Credit and debit balances per cost type. Shown Cost Center, Cost Type, Date
together with the chart of cost types
Cost Acctg. Statement per Profit and Loss over two periods with the Cost Center, Cost Object,
Period comparison as a percentage. Date
Cost Acctg. Analysis Balances per cost type with colums for seven Cost Type, Date
fields for cost centers or cost objects that the user
can select.
Account Schedule User defined display of the order, titles, and totals Cost Center, Cost Type, Date
from the cost types. Shows credit or debit
balances per line.

63
Cost Accounting - Review
• Cost Account versus General Ledger Accounting
• Workflow in cost accounting
• Master Data in cost accounting
• Setting up cost accounting
• Cost entries
• Cost journals
• Cost budgets
• Cost allocations
• Cost accounting Reporting
Module 7
Cash Flow Forecast
CashFlow Forecast - Overview
• Functions of the Cash Flow Forecast
• Setting up Cash Flow Forecasts
• Creating Cash Flow Forecasts
• Cash Flow Forecast reporting
Functions of the Cash Flow Forecast
Intention of the Cash Flow Forecast functionality
• Not serving any legal requirements
• Estimation for the Cash Flow
• Calculation based on assumptions

Flexibility
• Multiple Forecasts
• Suggest / Add / Delete / Modify
• Delete Entries on creating a new Forecast
• Save Forecasts
Functions of the Cash Flow Forecast
Cash Flow Sources
• Receivables
• Payables
• Liquid funds
• Manual expenses/revenues
• Sales/Purchase orders
• Fixed assets budgets/disposals
• Service orders
• G/L budgets
• Jobs
• Taxes
• Cortana Intelligence
Setting up Cash Flow Forecasts

• Chart of Cash Flow Accounts

• Cash Flow Setup

• Cash Flow Payment Terms

Cash Flow Forecast Reporting

• Chart of Cash Flow Accounts

• Cash Flow Forecast
• CF Availability by Period
• Cash Flow Date List
• Account Schedules
• Analysis by Dimensions
• Cash Flow Chart
CashFlow Forecast - Review

• Functions of the Cash Flow Forecast

• Setting up Cash Flow Forecasts

• Creating Cash Flow Forecasts

• Cash Flow Forecast reporting

Module 8
Financial Reporting and Analysis
Financial Reporting and Analysis - Overview

• Analyze the Chart of Accounts

• Financial Statements
• Account schedules
• Analysis by Dimensions
• Export Analysis Views to Excel
• Dimension Based Reports
• Combine Analysis Views with Account Schedules
• Financial Charts
Analyze the Chart of Accounts

You can access the following analysis pages

from the Chart of Accounts page:

• G/L Account Balance

• G/L Balance
• G/L Balance by Dimension
• G/L Account Balance/Budget
• G/L Balance/Budget
Financial Statements

• Balance Sheet
• Income Statement
• Statement of Cash Flow
• Statement of Retained Earnings

• Business Manager role center

• Account Schedules
• Setup: General Ledger Setup
Account Schedules

• Customized financial reports based on:

• G/L Entries
• G/L Budget Entries
• Cost Entries
• Cost Budget Entries
• Cash Flow Entries
• Create as many account schedules as needed, each with
a unique name
• Set up various report layouts and print the reports with
the current figures
Account Schedules

Column Layout

Account schedule lines

Analysis by Dimensions

Analysis View
Filtering on criteria
selected in Analysis
by Dimensions Page

Analysis View Entries

Created based on
criteria in Analysis
View Card

G/L Entries – G/L Budget Entries –

Cash Flow Forecast Entries
Analysis by Dimensions

• Criteria:
• G/L Accounts
• Cash Flow Accounts
• Periods
• Business Units
• Up to 4 dimensions
• Output:
• NAV
• Print
• Export to Excel
Combine Analysis Views with Account Schedules

• Flexibility of Account Schedule

• Dimensions of Analysis View
• Up to 4 dimensions
• Global Dimensions not by default
Module 9
XBRL
Module 9 - Overview
• XBRL Terminology
• XBRL Specifications and Taxonomy
• Work with Linkbases
• Enter XBRL Line Definitions
• Export the XBRL Lines
XBRL Terminology
• XBRL instance:
• Business report
• Values explained by taxonomy
• XBRL schema:
• Core low-level components of XBRL
• How instance documents and taxonomies are to be built (XSD, DTD)
• XBRL specification:
• What XBRL is
• Explains XBRL in technical terms
• XBRL taxonomy:
• Vocabulary or dictionary created by a group or organization
• Compliant with the XBRL Specification to exchange business information
Import Taxonomies

www.xbrl.org
Module 8 - Review
• XBRL Terminology
• XBRL Specifications and Taxonomy
• Work with Linkbases
• Enter XBRL Line Definitions
• Export the XBRL Lines
 Course Review
• Module 1: Intrastat
• Module 2: VAT Rate Change Tool
• Module 3: E-Services and Document Management
• Module 4: Multicurrency
• Module 5: Budgets
• Module 6: Cost Accounting
• Module 7: Cash Flow Forecast
• Module 8: Financial Reporting and Analysis
• Module 9: XBRL
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