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Highlights:

      • Each general ledger account balance can be broken down into account balances reflecting original transaction currencies
      • Suits any implementation scenario as it can cover any extension level from full-size general ledger to specific shadow ledger considering selected products and valuation elements
      • 360-degree breakdown and drilldown to configurable portfolios, individual deals, accounting transactions, valuation results and even underlying cash flow plans
      • Support of period-end tasks such as zeroisation of profit and loss accounts or FX valuation
      • Consolidation considering intra-company and inter-company deals depending on the level of consolidation


The blueprint Financial Accounting contains a general ledger.

This general ledger supports multiple GAAPs in parallel. For each GAAP it can be decided if the implementation should cover a

  • Full-size general ledger
  • Shadow ledger or 
  • Shadow ledger light.

Figure: Drilldown from general ledger account balance 


A full size general ledger considers for balance sheet and profit and loss:

  • All financial instruments and 
  • All non-financial instruments as well as
  • All valuation elements

As such, a full-size general ledger reflects the entire business of an entity. 

It provides specific general ledger functionalities such as

  • valuation of account balances in FX and posting of the related FX result
  • profit and loss zeroisation at the end of a configurable fiscal period

Beside comprehensive financial statements, the functionality includes the support of analysing, reporting and presentation requirements.


A shadow ledger concentrates on an excerpt of the business of an entity. This excerpt can be for example "All financial instruments" or a "Loan Ledger".


A shadow ledger light is similar to the shadow ledger, but the focus is limited to specific valuation elements. For example a shadow ledger light might cover the amortisation of transaction costs for a loan portfolio as well as fair value specific valuation elements or risk provisioning.

The decision which implementation type of a general ledger in FlexFinance fits best should include the following aspects:

  • No third-party general ledger is in place
  • A third-party general ledger is in place, but 
    • does not support the drilldown of general ledger account balances to individual deal level (often third-party general ledgers work at aggregated level only)
    • does not support the breakdown of account balances to freely definable portfolios (often third-party general ledgers are limted to 3 to 5 criteira which can be used for drilldown)

In any implmentation scenario, it is possible to export debit/credit entries to a third-party tool.
 

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