Hello ACCOUNTS advisors. I’m sorry to bother you on the same day as your Year End Reminder email, but we have an important question for you, before we make some changes.
A user has brought to our attention that in the Budget Comparison report, the sign of the differences for the Expense accounts should be the opposite of what it is now, so that if the actual expenses are less than budget, the difference shows as a positive number. Currently it shows as a negative number.
We are clear that what we are doing for Income accounts is already OK (difference is positive if actual income is over budget) and also OK for the final Net Income row in the Difference column.
So the overall principle, if we make this change, is that a Difference should be a positive number if the actual is “better” than budget, which is if the actual income is more than budget, or the actual expense is less than budget.
It appears that this same problem with the sign of differences for Expense accounts is also the case in Income Statement Comparison reports, like Income Statement Yr/Yr Comparison. So one year should be better than another (have a positive difference) if its income is more than the other year’s, and if it’s expense is less than the other year’s.
I’m quite surprised that that this is the first time this has been brought to our attention, so I want to see whether any of you have a contrary opinion, and think that the way we do it now is already better than the alternative we are suggesting. If so, can you please explain why you think that?