We updated the Borrowings note to give you more control over how borrowings appear in your financial statements.
You can now split borrowings into categories such as bank loans, hire purchases, and other borrowings. This makes it easier to map accounts, and defaults the workpapers for the Bank loans and hire purchase workpapers.
If you previously mapped accounts to Borrowings, update those mappings so the note displays correctly under the new structure.
If you need to use the new account codes in a locked comparative period, you need to unlock the period and the mapping in the prior year period first. Make sure you've exported everything before unlocking the period, as it may change the amounts.
What are the changes, and what do you need to do?
In the Borrowings note,
you'll see a yellow banner with the new mapping codes and a new unreconciled status.
There will be a single line called Borrowings in the current and non-current sections instead of all the imported/original accounts from borrowings.
Borrowings chart of accounts
Old chart
Account code | Name | Type | Sub type | Default workpaper |
|---|---|---|---|---|
2.14000 | Borrowings | liability | current | Standard account template |
2.22000 | Borrowings | liability | non-current | Standard account template |
New chart
Account code | Name | Type | Sub type | Default workpaper |
|---|---|---|---|---|
2.14010 | Bank loans | liability | current | Bank loans |
2.14020 | Hire purchases | liability | current | Hire purchase |
2.14030 | Chattel mortgages | liability | current | Standard account template |
2.14090 | Other borrowings | liability | current | Standard account template |
2.22000 | Borrowings | liability | non-current | Standard account template |
2.22010 | Bank loans | liability | non-current | Bank loans |
2.22020 | Hire purchases | liability | non-current
| Hire purchase |
2.22030 | Chattel mortgages | liability | non-current | Standard account template |
2.22090 | Other borrowings | liability | non-current | Standard account template |
What to do if the comparative period is locked
If the comparative period is locked or the new account codes are not mapped, the Borrowings will dispaly a warning with the details.
Things to know before unlocking the comparative period
Unlock only if needed: You only need to unlock the period if you want to split out the borrowings comparative figures.
Unlock both period and account mapping: You'll need to unlock both the period and the mapping, but don't need to unlock the templates
Unlocking will change the comparative figures in the current period, but the borrowings note in the locked period remains the same.
Unlocking a prior period may affect other updates that were previously applied in that period, so you should export first and keep the unlock window as short as practical.
To map the new account codes
Go to the Client page > Accounts > Account mapping.
Check that all borrowings accounts are mapped to the new account codes.
Complete or correct any missing account mapping before unlocking the period.
To unlock the period
Export the locked period before making changes:
From the main client page, choose a bundle.
Go to Financial statements > Export.
Choose another bundle.
Go to Workpapers > Export.
If you want to split out the borrowings in the comparative figures,
unlock the last locked period.
Unlock the account mapping for that same period.
Check the current period borrowings note and comparative figures again to make sure nothing has changed.
Lock the period again once the mapping change has been completed and reviewed.
This will remove the Borrowings line and include the comparatives in the new account codes in the Borrowings note.
You can now split the borrowings note, break down, and add details to the account categories.