Accountfy Parametrization Checklist

The purpose of this content is to list important issues to be considered when parameterizing or revising company management structures in Accountfy:

1. It should be noted in the Direct Cash Flow that accounts related to payments should not show positive values, unless there is a specific reason. For instance, in a Tax Payment structure we should not see positive values since a company does not receive these kinds of values. The same applies to labor, other taxes and suppliers;
2. Likewise, amounts referring to receipts from clients should not show negative values, unless there were significant returns from clients that exceed receipts;
3. Ideally, both the Direct Cash Flow and the Indirect Cash Flow should present the same totalizer lines, but this is not mandatory. Therefore, in both methodologies, these values should be the same. For instance, the Operational Cash Flow should present the same value in both methods – with (i) Indirect CF based on EBITDA and discounting the Working Capital and (ii) Direct CF in operations with receipts and payments;
4. As the method of preparing the Cash Flow considers the triangulation of assets, liabilities, and result accounts, it is essential that the grouping of the analytical accounting accounts respects the similarity nature of the criteria. For instance, the liability of Income Tax Withheld at Source from Individuals should be grouped together with Salaries Payable, since IRRF (Income tax withheld at source) is only retained from salaries or some other income;
5. In the foregoing example, the account that will impact the same structure of the Direct Cash Flow will be Expenses with Salaries and Provision for Vacations, for instance. In Assets, eventual Salary Advances should also be grouped in this structure.