Financial Statements include content related to finance and financial modeling within the conceptual information framing for Architected Futures. The initial working model is a robust family finance model, based on personal experience, which encompasses a private business model. The general conceptual finance model is meant to evolve into a general financial model for an arbitrary entity, and thus to serve as a generic calculator of statistical data in larger context models which require financial modeling features for components.
Content of this nature is deemed private collection and needs related safeguards relative to disclosure. Content should only be made accessible when the owner of the collection wants or needs access, but otherwise restricted from view or examination by others in compliance with the requirements of digital rights compliance. While the content is private it is also desired to follow a shared modeling and analysis specification to allow its use with related material and other modeling activities in anonymous form.
Financial statements are pro-forma analyses that are prepared by the system as a form of financial evaluation of the consequences of activities over time. They provide a standardized scheme for the reporting and evaluation of economic activity as it relates to a particular entity.
According to the business dictionary a financial statement is a “summary report that shows how a firm has used the funds entrusted to it by its stockholders (shareholders) and lenders, and what is its current financial position. The three basic financial statements are the (1) balance sheet, which shows firm’s assets, liabilities, and net worth on a stated date; (2) income statement (also called profit & loss account), which shows how the net income of the firm is arrived at over a stated period, and (3) cash flow statement, which shows the inflows and outflows of cash caused by the firm’s activities during a stated period.
Part of the reason for qualification in various definitions is the fact that businesses require detailed financial management using these types of tools, people could benefit from it, but do not require it, so the focus is on business. The problem with this is that producer driven consumption is an ineffective model when compared with consumer driven production. It simply costs more, in what ever form of energy you want to measure it, to convince people to consume things which they otherwise do not need or want, than to simply produce what people need and want, and things that deliver high satisfaction levels and a desire for more on a continuing basis.
A central concept of EATS and Architected Futures is value accounting. Money is a form of metric that we use for value in an economic sphere. FinTech scripts Goal Based Investing and Gamification into financial management as another form of AI that I believe will become pervasive. I suspect that very little of what the quants do for the folks who were the early adopters of online behavioral modeling exists in forms that open-source coders might not be willing to provide as fundamental building blocks for secure, personalized, cloud experiences. Assuming that there really are a whole lot of “magic formulae” out there, versus a lot of repetition of the same thing with people really competing for who gets to buy the high speed links to the real time transaction activity, and at what price.
Financial statements is a way to try to provide a common core framework over value accounting that works at all levels of scale, for all types of entities.
- Value is a generic, conceptual thing which is sub-classed into concepts like money. Thus, money accounting, done as “value” accounting, works for money. Whether it works for anything else is not a “money” issue.
- Value is conceptually denominated into as many forms, or types, as people may want to deal with. The common denominator for exchange purposes is economic value as measured in units of money. Money itself is multi-denominational (multiple currencies and valuation mechanisms)
For the best understanding of value, one needs to look at trends and situational dynamics over both current and longer term horizons. Financial statements help to do that. Full generic value accounting is meant to allow a meaningful understanding of values beyond fundamental economics. It opens a multiple layer framework for the evaluation of economic rationale. Does the fundamental economic layer of society, the worker bees, have a value to society other than what that class of people can contribute to the economy as ?
People responsible for, or concerned with, the financial aspects of decisions.
External parties concerned with, or responsible for, the financial aspects of affairs. Includes people who may ultimately bear the cost of planned activities or their consequences.
Strock Van Steen Financial Statements
Different files are in use as part of the model assembly given different needs in the approach to information aggregation for different purposes. This web page provides a text gathering of data to try to explain baseline files in use in terms of function and utility from three levels of perspective:
- High Level Financial Summary
- Mid Level Budgetary Problem Solving
- Detail Analysis and Audit
- The Strock Van Steen Financial Statements gsheet defines a top level current financial view balance sheet and income statement capable of supporting the generation of most measures of financial health.
- The balance sheet currently provides a summary form of the asset and liability chart of accounts. The balance sheet represents a point in time. The model wants to be programmed as an aggregate of data for a “annualized” perspective of cash flow. The income sheet coding currently makes no determination of time frame but assumes a clean cut of all income and expense data is presented in a journal form.
- The Annual Budget-Family gsheet defines a middle level family budget for a particular formation of family circumstances, defined by parameters and capable of reconfiguration to fit circumstances.
- This spreadsheet currently provides a nice view of an annual expense summary by category and month and is being used as a display system for a projected annual budget view with a 2017, 2018, 2019 model
Detail Model View
- The Cash Flow and Budget gsheet defines our current detail model.
- It includes a comprehensive understanding of “Chart of Accounts”
- It includes a forecasting model which can be programmed individually for each line item in the model.
- It includes voucher journal content, including historical transaction data, for significant transaction accounts which can be used to track and categorize transaction details, or to abstract the detail, as the case may call for.
This web page is a replacement for the gDoc from which the content was migrated. The original implementation was based on Google tooling, in an attempt to consolidate in a Google Apps framework. This is being extracted and migrated forward for 2020 as part of V5 activities.
The general structure for the financial model follows generalized data modeling patterns for financial accounting similar to those advanced by David C. Hay in his Data Model Patterns books. While the models here are not directly derived from David Hay’s models, they have been formed from similar aggregations of insights gathered during travels through the same period of IT development as those that formed David’s thinking, including David’s publications through the years.
Value Flow Analysis Model
- Value Flow Analysis Model (defines the content?). The Manifest is keyed to the remaining documents which form financial reporting viewpoint models over common content.
- Strock Van Steen Financial Statements is the top level sheet defining the model for the Joe and Hallie as a joint financial entity. The general form of the model is a general model for a family and/or small business. It is based on a more general model for value accounting as applied generically as a core function of architectural modeling in the new AF environment. It is a modified version of a Sheet Template that presents integrated charts
- Annual Budget-Family is a mid-level sheet.
Strock Van Steen Balance Sheet reports balance sheet accounts based on direct entry into cells within the Balance Sheet sheet, and it reports cash flow based on a transaction stream defined and located in a Transactions sheet.
- Active Directory Structure
- Financial Statements
- Pattern Literacy
- Project Athena
- Table Oriented Programming (TOP)