Xml, Xbrl.pptx

Chpt.3 The XML-Based Web Languages and Accounting MATA KULIAH: SISTEM INFORMASI AKT. LANJUTAN

SGML (Standard General Markup Language) • A great variety of documents (ex. web): articles, catalogues, lists, data tables etc..

•

Each document has its logical structure (article: title , author, data,..). The standard format used for all documents is ASCII, but different conventions are used in representing information ( ex.name and surname or vice versa, different number of bytes reserved , name delimited by “$”..).

•

The management of the archive is difficult. (searching for a text, for the author name or for all its the books,..)

• It is necessary to adopt a standard markup language. A markup language defines how documents should be formatted.

SGML (Standard General Markup Language) • In the early days of computer type setting, there were many different typesetting systems, and each used its own proprietary markup language. • This language consisted of special control characters to indicate the beginning and the end of some formatting. • SGML (Standard General Markup Language). developed in 1986 by International Organization for Standardization (ISO) . • SGML is a metalanguage: a language that describes a formatting and markup language.

• HTML (Hyper Text Markup Language) is the first simplified language deriving by SGML It is characterize by a set of tags and rules for their use.

HTML ( Hypertext Markup Language) • HTML is a markup language. • Markup: • Embedded codes in documents • Codes are called `tags’ • Codes • Describe the structure documents • Include instructions for processing

• HTML was originally a SGML application

HTML ( Hypertext Markup Language) • A tag appears as a tag name bracketed by less-than and greater than symbols:

• The corresponding tag used to end an operation begins with two- character sequence less-than and slash and ends with a greater than- symbol:

XML (eXtensible Markup Language) • XML stands for eXtensible Markup Language. • A markup language is used to provide information about a document. • Tags are added to the document to provide the extra information.

• HTML tags tell a browser how to display the document. • XML tags give a reader some idea what some of the data means.

What is XML Used For? • XML documents are used to transfer data from one place to another often over the Internet. • XML subsets are designed for particular applications. • One is RSS (Rich Site Summary or Really Simple Syndication ). It is used to send breaking news bulletins from one web site to another. • A number of fields have their own subsets. These include chemistry, mathematics, and books publishing. • Most of these subsets are registered with the W3Consortium and are available for anyone’s use.

XML (eXtensible Markup Language) HTML is used to mark up text so it can be displayed to users

XML is used to mark up data so it can be processed by computers

HTML describes both structure (e.g.

,

, <em>) and appearance (e.g.
, , )

XML describes only content, or “meaning”

HTML uses a fixed, unchangeable set of tags

In XML, you make up your own tags

XML (eXtensible Markup Language) • HTML and XML look similar, because they are both SGML languages (SGML = Standard Generalized Markup Language) • Both HTML and XML use elements enclosed in tags (e.g. This is an element) • Both use tag attributes (e.g., ) • Both use entities (<, >, &, ", ')

• More precisely, • HTML is defined in SGML • XML is a (very small) subset of SGML

Difference Between HTML and XML • HTML is for humans • HTML describes web pages • You don’t want to see error messages about web pages you visit • Browsers ignore and/or correct as many HTML errors as they can, so HTML is often sloppy

• XML is for computers • XML describes data • The rules are strict and errors are not allowed • In this way, XML is like a programming language

• Current versions of most browsers can display XML • However, browser support of XML tends to be inconsistent

Difference Between HTML and XML • HTML tags have a fixed meaning and browsers know what it is.

• XML tags are different for different applications, and users know what they mean. • HTML tags are used for display. • XML tags are used to describe documents and data.

XML and HTML

XML Rules • Tags are enclosed in angle brackets. • Tags come in pairs with start-tags and end-tags. • Tags must be properly nested. • <email>… is not allowed. • <email>… is. • Tags that do not have end-tags must be terminated by a ‘/’. •
is an html example.

XML (eXtensible Markup Language) <weatherReport> 7/14/97 North Place <state>NX USA High Temp: 103 Low Temp: 70 Morning: <morning>Partly cloudy, Hazy Afternoon: Sunny & hot Evening: <evening>Clear and Cooler

Valid XML • A DTD (Document Type Definition) defines what tags are legal and where they can occur in the XML • An XML document does not require a DTD • XML is well-structured if it follows the rules given earlier • In addition, XML is valid if it declares a DTD and conforms to that DTD • A DTD can be included in the XML, but is typically a separate document • Errors in XML documents will stop XML programs • Some alternatives to DTDs is XML Schemas

DTD and Schemas





<xs:schema xmlns:xs="http://www.w3.org/2001/XMLSchema">



<xs:element name="address"> <xs:complexType> <xs:sequence>



<xs:element name="name" type="xs:string"/>



<xs:element name="email" type="xs:string"/>



<xs:element name="phone" type="xs:string"/>



<xs:element name="birthday" type="xs:date"/>





Viewing XML • XML is designed to be processed by computer programs, not to be displayed to humans

• Nevertheless, almost all current browsers can display XML documents • They don’t all display it the same way • They may not display it at all if it has errors • For best results, update your browsers to the newest available versions

• Remember: HTML is designed to be viewed, XML is designed to be used

Vocabulary • SGML: Standard Generalized Markup Language • XML : Extensible Markup Language • DTD: Document Type Definition • element: a start and end tag, along with their contents • attribute: a value given in the start tag of an element • entity: a representation of a particular character or string • PI: a Processing Instruction, to possibly be used by a program that processes this XML • namespace: a unique string that references a DTD • well-formed XML: XML that follows the basic syntax rules • valid XML: well-formed XML that conforms to a DTD

XBRL: eXtensible Business Reporting Language • XBRL is a freely available electronic language for financial reporting. • XBRL provides an XML-based framework that the global business information supply chain can use to create, exchange, and analyze financial reporting information including, but not limited to, regulatory filings such as annual and quarterly financial statements, general ledger information, and audit schedules. • XBRL is not about establishing new accounting standards but enhancing the usability of the ones that we have through the digital language of business. • XBRL will not require additional disclosure from companies to outside audiences.

XBRL: eXtensible Business Reporting Language • An XBRL-based financial statement is a digitally enhanced version of paperbased financial statements, which include the balance sheet, income statement, statement of equity, statement of cash flows, and the notes to the financial statements as well as the accountant's report. • XBRL documents can be prepared efficiently, exchanged reliably, published more easily, analyzed quickly, retrieved by investors simply, and enables smarter investments.

• Other potential XBRL applications include tax returns, regulatory filing, general ledger, authoritative literature, and management reporting.

XBRL: eXtensible Business Reporting Language • An XBRL-based financial statement is a digitally enhanced version of paperbased financial statements, which include the balance sheet, income statement, statement of equity, statement of cash flows, and the notes to the financial statements as well as the accountant's report. • XBRL documents can be prepared efficiently, exchanged reliably, published more easily, analyzed quickly, retrieved by investors simply, and enables smarter investments.

• Other potential XBRL applications include tax returns, regulatory filing, general ledger, authoritative literature, and management reporting.

XML and XBRL • XML is like HTML but a bit cleverer • • A browser knows (from a Stylesheet) how to display it

• • Other programs can process it too • • It’s all about tagging

XML and XBRL • eXtensible Business Reporting Language • Freely licensed standard, originated in • accountancy profession • It is XML – and cleverer still • As well as tagging data items • o it can show relationships

• o … and how they have been calculated • o Uses a taxonomy

Financial Reporting Process Without/With XBRL

Why XBRL?

What are the Benefits of XBRL for Financial Statements? With XBRL, information will be entered once and the same information will be "rendered" as • a printed financial statement, • an HTML document for a Web site,

• an EDGAR filing file for SEC, • a raw XML file, or • a specialized reporting format such as periodic banking and other regulatory reports.

What are the Benefits of XBRL for Financial Statements? Specific benefits of XBRL include: • Allows users to quickly access the information they need • Permits the automatic and reliable exchange of financial information • Does not require a change to accounting standards or disclosure policies • Eliminates the need to reenter data for different users • Lowers the cost to prepare and distribute financial statements

• Allows accountants to quickly and easily consolidate and scrutinize internal data for use in financial reports • Enhances transparency of financial reporting

Who will benefit from using XBRL? • Companies who prepare financial statements: More efficient preparation of financial statements because they will be created one time and rendered as printed reports, on Web sites, as Edgar filings, or as other regulatory filings. • Analysts, Investors, and Regulators: Enhanced distribution and usability of existing financial statement information. Automated analysis, significantly less re-keying of financial information from one form into another form, receiving information in the format you prefer for your specific style of analysis. • Financial publishers and data aggregators: More efficient data collection lowers operating costs associated with custom, idiosyncratic data feeds and reducing errors while concentrating on adding value to the data and increasing transaction capacity

• Independent Software Vendors: Virtually any software product that manages financial information could use XBRL for its data export and import formats, thereby increasing its potential for fullinteroperability with other financial and analytical applications.

Three Requirements for the Successful Deployment of XBRL • Creation of a specification that is the same for all companies that is consistent from one financial statement to another. • An application that will allow the creation of financial statements ”tagged” with XML that adhere to the specifications. • Style sheets which render information for a specific or variety of formats. XBRL for financial statements will provide agreement on the terms used by establishing uniform categories for financial data. Yet, the system remains flexible to accommodate any company’s internal environments, processes, systems, and even styles.

Impact of Technology on the Global Accountancy Profession • Journal of Accountancy: “Technology is poised to transform the accounting profession. Artificial intelligence, robotics, and blockchain are on the verge of automating many traditional core CPA tasks. The profession is at a critical moment, one from which it will emerge in a far different form.” • Artificial intelligence, blockchain and other technologies are poised to reshape the accounting landscape.

Impact of Technology on the Global Accountancy Profession • While what goes into financial reports is not really changing, how information is conveyed by that report is changing a lot. Paper-based and even electronic versions of financial reports were not understandable by computer processes. But XBRL-based structured digital financial reports are understandable by machines.

Three Technology Trend There are three specific new technologies that can be leveraged to significantly improve and modernize accounting and financial reporting • XBRL-based structured digital financial reports: The general purpose financial report is getting a face lift for the digital age. In the past, general purpose financial reports were readable only by humans. In the future, general purpose financial reports will be human-readable and machine-readable. • Knowledge-based systems and other application of artificial intelligence: Who is the world chess champion today; a computer or a human? In 1997, IBM's Deep Blue took the title. Today, a computer is no longer the world chess champion. Neither is a human. Today, a team of computers and humans working together can beat any computer or any human working alone. That is how the power of computers will be harnessed in the Digital Age; by human and computer teamwork. Humans are good at some tasks; not as good at other tasks. Computers are good at some tasks; not as good at other tasks. Teaming humans and computers together and leveraging the strengths of each is how work will get done in the future. In the first industrial revolution, steam engines amplified the power of or muscles. In the fourth industrial revolutions, computers will amplify the power of our brains.

Three Technology Trend Blockchain-based digital distributed ledgers: Many people say that blockchain will enable "triple-entry" accounting. So what is a digital distributed ledger? A digital distributed ledger is an indestructible and uneditable decentralized computer record, or ledger. It provides a full and complete history of transactions in that ledger. Ledgers can be as public and open or private, limited, or confidential as the use case demands. Ledgers can be permissioned or permission-less in determining who can add new transactions. Different approaches can be used to determine how new transactions are authorized (proof-of-stake, proof-of-work, consensus, identity mechanisms) before they can update the ledger. Ledgers can be interlinked with one or more other ledgers.

How do you actually make digital financial reporting work? • Professional accountants have to understand that this is an engineering process. • Professional accountants need to understand a few things about knowledge engineering. • Professional accountants need to understand how a problem solving logic works and how the rules and logic interact to make computers do their work. • This will help them understand how to get computers to serve their needs. • Second, you have to have a framework and theory to think about digital financial reports. Without a framework and theory, all that you have to work with is the XBRL technical syntax. That will not work because that level of digital financial reporting is too technical and impossible for the average business professional or professional accountant to understand. • That is why professional accountants need to learn a few new things and understand the framework and theory of a digital financial report.

Broader Trend of Digital Business Reporting The objective of Industry 4.0 is to increase the flexibility of existing value chains by maximizing the transparency of inbound and outbound logistics, manufacturing, marketing, and all other business functions such as accounting, legislation, human resource, etc.” Basically, what Industry 4.0 means is that technologies will be used to dramatically improve the efficiency and effectiveness of businesses and other organizations.

XBRL in the future • Most professional accountants still don’t understand how to correctly convey the meaning represented by the complex logical information which makes up a financial report in the machine-readable XBRL structured format.

• Most professional accountants still don’t understand how to create the business rules that help make sure they did not make mistakes in conveying that meaning. • Most professional accountants are not leveraging currently available technologies to automate things such as financial reporting and disclosure checklists. • Most certified public accountants don’t really understand how to audit information conveyed by an XBRL-based structured digital financial report. • But all that is slowly changing.

XBRL in the future • XBRL's role in Industry 4.0. “To facilitate information exchange and analysis in Audit 4.0, regulators and standardization agencies should create suitable standards that define the formats and naming rules of commonly used data.”

• “In addition, business processes will be monitored against pre-determined rules to detect violations of key controls, and cross-verified via certain continuity equations.” • For increased efficiency and effectiveness in business processes to be realized, business information exchange will need to work correctly. For meaningful machinebased information exchange to work, you need pre-determined rules relating to technical syntax, domain semantics, and workflow.

XBRL in the future • Intelligent XBRL-based digital financial reporting products collect information about financial report creation projects and allow this information to be coordinated across all other representations of the project, so that every statement, policy, and disclosure is based on internally consistent and complete information from the same underling financial information database. Risk of noncompliance is minimized. Cost of compliance is minimized. Effort to comply is minimized.

Thank you