Regular Income Statement and Unformatted Income Statement Show Different Results

It is possible to create customized Income Statements and therefore it is natural in some cases that you regular Income Statement(s) may not provide the exact same results and totals the Unformatted Income Statement does.  However, if being different was not your intention, then please read on.

UDS doesn't receive many support calls to do with Income Statements but of those that we do, most are due to not being aware of rule "number one" in formatting the regular Income Statement:  IF using GL Account Numbers that include a 'base' account number, then a period, and then numbers just to the right of the period; avoid creating an account number using only that 'base' portion of those account numbers.  For example if account numbers 350.01 and 350.02 exist in your GL Chart of Account list, then do not create an account using only the 'base' account number 350.  This condition will cause a problem with the balances printed for these related accounts in any regular Income Statement.  

If you find you have this same situation in your G/L Income statement format, don't worry about the integrity of your system because it  is fine.  You just need to move the balance from (using our example above) account 350 to another account number you will create such as 350.03.  The General Ledger Transaction Entry/Update program (Journal entry) will be of help to you there.  Likewise, you could also use Miscellaneous Cash Receipts entry to move the balances between the accounts if you prefer.

The second most prevalent error that can occur in the format of your regular Income Statement is adding an account number to the format more than once and/or omitting using an account number.  The system has no idea whether this is intentional or unintentional on your part and will not prohibit you from doing so.

There exists several tools or strategies to help you check out the validity of your Income Statement format.

1. In the Income Statement Print & Format window there is a Format button.  This brings up the Income Statement Format File window.

2. Select- File/ Print Edit List and a brief report showing account numbers “Used more than once” and “Not Used” will be printed for you to look over.

3. Select- File/ Print Format List and a listing of every account number used in your format will be provided.  This provides you with a list of accounts and the structure of your format.

4. You could of course load another Income Statement format if you had one and repeat this process.

5. There is a button on this window named Build Format and it is intended to mimic in one way what the Unformatted Income Statement does.  It will cause the system to create a new Income Statement format for you that includes one of every account in your chart of accounts and without missing or repeating any.  A basic structure is also provided upon which you could easily develop a new customized Income Statement if you so desired.

The Unformatted Income Statement differs from the regular Income Statement in that the GL account numbers print on the statement itself.  So this makes it possible to compare it to the “Format List” of the regular Income Statement side by side.  In this manner you could compare your regular Income Statement format directly to the Unformatted Income Statement.