PUBLIC SERVICE AGENCY PRESENTATION OF FINANCIAL STATEMENT TABLE OF - - PDF document

ACCRUAL BASIS GOVERNMENT ACCOUNTING STANDARDS STATEMENT NO. 13

PUBLIC SERVICE AGENCY PRESENTATION OF FINANCIAL STATEMENT

TABLE OF CONTENTS

INTRODUCTION ............................................................................................................................................. 6 Objective ................................................................................................................................................... 6 Scope ......................................................................................................................................................... 6 Accounting Entity / Reporting Entities ...................................................................................................... 7 DEFINITION ................................................................................................................................................... 7 PURPOSE OF PUBLIC SERVICE AGENCY FINANCIAL STATEMENTS ................................................................ 7 PUBLIC SERVICE AGENCY FINANCIAL REPORTING RESPONSIBILITIES ........................................................... 8 COMPONENTS OF PUBLIC SERVICE AGENCY FINANCIAL STATEMENTS ....................................................... 8 STRUCTURE AND CONTENT .......................................................................................................................... 8 Introduction .............................................................................................................................................. 8 Reporting Period ....................................................................................................................................... 8 On Time ..................................................................................................................................................... 9 BUDGET REALIZATION REPORT ..................................................................................................................... 9 STATEMENTS OF CHANGES IN BUDGET BALANCE EXCEED ........................................................................ 11 BALANCE SHEET .......................................................................................................................................... 12 STATEMENTS OF OPERATIONS ................................................................................................................... 13 CASH FLOW STATEMENT ............................................................................................................................ 14 Operating Activities ................................................................................................................................. 14 Investing Activities .................................................................................................................................. 15 Financing Activities ................................................................................................................................. 15 Transitory Activities ................................................................................................................................ 16 Statement Of Changes In Equity ............................................................................................................. 16 CONSOLIDATING OF PUBLIC SERVICE AGENCY FINANCIAL STATEMENTS TO THE ACCOUNTING ENTITIES / REPORTING ENTITIES FINANCIAL STATEMENTS ......................................................................................... 17 TERMINATION OF PUBLIC SERVICE AGENCY WORK UNIT UNITS INTO REGULAR WORK UNIT .................. 18 EFFECTIVE DATE .......................................................................................................................................... 18

Attachment: Appendix Illustration PSAP 13.A : Sample Format Public Service Agency Budget Realization Report Appendix Illustration PSAP 13.B : Sample Format Public Service Agency Changes In Budget Balance Exceed Report Appendix Illustration PSAP 13.C : Sample Format Public Service Agency Balance Sheet Appendix Illustration PSAP 13.D : Sample Format Public Service Agency Statements of Operations Appendix Illustration PSAP 13.e : Sample Format Public Service Agency Cash Flow Statement Appendix Illustration PSAP 13.F : Sample Format Public Service Agency Statement of Changes in Equity.

STATEMENT OF GOVERNMENT ACCOUNTING STANDARDS Accrual Basis NUMBER 13 PRESENTATION OF FINANCIAL STATEMENTS PUBLIC SERVICE AGENCY The paragraphs written in bold and italics are the standard paragraphs, which should be read in the context of the explanation paragraphs written with regular letters and Government Accounting Conceptual Framework.

INTRODUCTION

• 1. In accordance with Law No. 1 of 2004 on State Treasury, in order to improve service to the

public, the work unit can be set into a working unit which is implementing a financial management of Public Service Agency (BLU). The work units are given flexibility of financial management practices by applying sound business to improve service without profitability, conduct its activities with the principles of efficiency and productivity. Government unit are intended to provide public services, such as the provision of goods / services, management of special funds, and area management.

• 2. In accordance with the provisions, which apply a working unit BLU financial management given

the flexibility of financial management, including the management of revenue and expenditure, cash management, debt management and receivables, investment management and procurement of goods / services, the opportunity to hire a professional non Servants civil (PNS), as well as the opportunity of provision of fee to the employee in accordance with his contribution.

Objective

• 3. Purpose Statement This standard is set BLU presentation of financial statements in order to

improve comparability of financial reports on the budget, between periods, or between BLU. To achieve this objective, this standard sets the entire consideration in the framework of the presentation of financial statements, guidance on the structure of financial statements and minimum requirements of the content of the financial statements. The financial statements are prepared by applying the accrual basis of accounting.

Scope

• 4. In general, the Accounting Standards Board of Public Service refers to the entire Government

Accounting Standard (PSAP), unless stipulated separately in this PSAP.

• 5. BLU is an institution in the neighborhood of the central government / regions manage the

wealth of countries / regions that are not separated. As a government agency, BLU statements apply these standards in preparing financial reports.

Accounting Entity / Reporting Entities

• 6. BLU is because the reporting entity is a working unit of service who, though not a legal entity

that manages the wealth of the country / region is separated, has the following characteristics:

• a. funding of these entities is part of APBN / APBD;
• b. The entity formed by legislation;
• c. leadership entities are appointed officials or appointed;
• d. The entity made accountable directly to the accounting entity / entities reporting under

whom he and indirectly to representatives of the people as a party to approving the budget;

• e. has authority in financial management, including the use of income, cash management,

investment, and loans in accordance with the provisions;

• f. provide services to the public / third parties;
• g. manage the resources of separate accounting entity / entities reporting under whom he;
• h. has significant influence in the achievement of government programs; and

i. BLU audited financial statements and opinions given by external auditors.

• 7. As a recipient of the government budget (APBN / APBD) which organizes the accounting, BLU is

the accounting entity, whose financial statements are consolidated in the accounting entity / entities reporting organizationally she is employed.

DEFINITION

• 8. Public Service Agency, hereinafter abbreviated BLU is a neighborhood institution in the central /

local government and formed to provide services to the community in the form of supply of goods and / or services sold without priority for profit and in conducting its activities based on the principles of efficiency and productivity.

• 9. BLU Financial Statements is a form of accountability that is presented in the form of Budget

Realization Statement, Statement of Changes In Budget Balance Exceed, Balance Sheet, Statement of Operations, Statement of Cash Flows, Statement of Changes in Equity, and Notes to Financial Statements.

PURPOSE OF PUBLIC SERVICE AGENCY FINANCIAL STATEMENTS

• 10. Financial statements BLU is a structured report on the financial position and transactions

conducted by BLU. BLU general purpose financial statements is to present information about the financial position, the realization of the budget, over budget balance, cash flow, results of

• perations, and changes in equity BLU beneficial for the users in making and evaluating

decisions about the allocation of resources. Specifically, financial reporting purposes BLU is to

present information that is useful for decision-making and to demonstrate accountability reporting entity for the resources entrusted to him, with:

• a. provide information about the position of economic resources, liabilities, and equity BLU;
• b. provide information about changes in the position of economic resources, liabilities, and

equity BLU;

• c. provide information about the source, allocation and use of economic resources;
• d. provide information on the actual observance of the budget;
• e. provide information on how the reporting entity to fund its activities and meet its cash

needs;

• f. provide information about the potential to finance the implementation of the BLU activities

; and

• g. Provide useful information for evaluating the capability and independence of the BLU in

financing activities.

PUBLIC SERVICE AGENCY FINANCIAL REPORTING RESPONSIBILITIES

• 11. The responsibility for preparing and presenting BLU financial statements that are in the BLU

leader or appointed official.

COMPONENTS OF PUBLIC SERVICE AGENCY FINANCIAL STATEMENTS

• 12. Components BLU financial statements consist of:
• a. Budget Realization Report;
• b. Statements of Changes In Budget Balance Exceed;
• c. Balance Sheet;
• d. Statements of Operations;
• e. Cash flow statement;
• f. Statement of Changes in Equity; and
• g. Notes to the Financial Statements.
• 13. The financial statements provide information about the economic resources and BLU obligation

at the reporting date and the flow of economic resources during the period. This information is required the user to assess the economic capacity BLU in carrying out its activities in the future.

STRUCTURE AND CONTENT

Introduction

• 14. This Standard requires certain disclosures on the cover sheet (on the face) financial statements,

requires disclosure of other posts in the cover sheet or in the financial statements Notes to Financial Statements.

Reporting Period

• 15. The BLU financial statements are presented at least once a year.

On Time

• 16. The usefulness of financial statements is reduced if the report is not available to users within a

certain period after the reporting date. Faced factors such as the operation complexity in BLU is not a sufficient reason for the failure of timely reporting.

BUDGET REALIZATION REPORT

• 17. Budget Realization Report presents information BLU-LRA revenue, expenditure, surplus / deficit-

LRA, financing, and the remainder is more / less budget financing respectively compared with the budget in one period.

• 18. Budget Realization Report (LRA) BLU least include the following items:
• a. Revenue-LRA;
• b. Shopping;
• c. Surplus / deficit-LRA;
• d. Acceptance of financing;
• e. Financing expenses;
• f. Net financing; and
• g. Surplus / lack of budget financing (SiLPA / SiKPA).
• 19. Revenue BLU self-managed and not deposited to the State Treasury / Region is income countries

/ regions. Unit

• 20. The government's work to implement a financial management BLU given flexibility in the

implementation of the budget, including the revenue and expenditure management, cash management, and procurement of goods / services. One form of flexibility in the management

• f income is that income can be administered directly to finance spending. Revenue directly

managed to finance this expenditure means that the BLU revenues were not deposited prior to the State Treasury / Cash Regions. Each income and expenditure reported to the unit that has the function of a common treasury for approval or endorsement.

• 21. Revenue-LRA on BLU recognized when cash is received by BLU recognized as income in the unit

who have a common treasury functions.

• 22. Governments can create a BLU revenue-LRA recognition mechanism in accordance with the

applicable provisions in the scope of the government. For example, the government made BLU revenue-LRA authentication mechanism submitted to the State General Treasurer (BUN) / Regional Treasurer (BUD).

• 23. In terms of revenue receipts treasurer BLU-LRA is part of BUN / BUD, then the LRA BLU-income

is recognized when cash is received by the BLU treasurer reception.

• 24. Accounting for revenue-LRA carried out on the basis of gross, i.e. with a gross revenue record,

and does not record the net amount (after partially offset by expenditures).

• 25. In terms of the amount of deduction from the LRA gross income (costs) are variable on the

income in question and can’t be budgeted in advance because the process has not been completed, then the gross principle be excluded.

• 26. Especially for revenues of Joint Operation (KSO), are recognized on the basis of net by first

issuing a revenue share that is the right KSO partners.

• 27. Payment of cash from current year income BLU LRA is recorded as a deduction SiLPA on BLU

adder SiLPA the central government / local.

• 28. Payment of cash from income LRA BLU previous year was recorded as a reduction to Budget

Balance More on BLU and adders SAL in the central / local government.

• 29. Revenue-LRA on BLU classified by type of income.
• 30. Revenue-LRA on BLU is non-tax revenue.
• 31. Includes non-tax revenue in the BLU is:
• a. Service revenue sourced from the public;
• b. Service revenue derived from the accounting entity / entities reporting;
• c. Revenue results of cooperation;
• d. The revenues from grants in the form of cash; and
• e. Other BLU revenues.
• 32. Revenues sourced from the public service as referred to in paragraph 31 letter a is remuneration

derived from services rendered to the community.

• 33. Revenue service that comes from the entity accounting / reporting entities referred to in

paragraph 31 letter b is remuneration derived from services provided to the accounting entity / entities reporting in charge or not she is employed.

• 34. Revenue result of cooperation referred to in paragraph 31 letter c is the acquisition of
• perational cooperation, leases, and other businesses that support the tasks and functions of

BLU.

• 35. Revenue derived from cash grants in the form referred to in paragraph 31, letter d is income

received from the public or other agencies in the form of cash, with no obligation for BLU to deliver the goods / services.

• 36. Other BLU revenues referred to in paragraph 31 letter e, such as:
• a. the sale of the wealth that is not separated;
• b. current account service;
• c. interest income;
• d. exchange gains in the rupiah against foreign currencies; and / or
• e. commissions, discounts or other forms as a result of the sale and / or supply of goods and /
• r services by BLU.
• 37. Grant revenue in the form of goods / services are not reported in the LRA because the cash-

based revenue recognition. Grant revenue in the form of goods / services are reported on accrual-based Operational Reports.

• 38. Examples of service revenue derived from the entity's accounting / reporting entities referred to

in paragraph 31 letter b is the status of State Universities BLU earn revenues from donations Delivery of Education (SPP) students are funded from the budget of the state ministries / agencies / Regional Work Units (SKPD).

• 39. Spending on BLU recognized when cash disbursements made by the BLU endorsed by units that

have a common treasury functions.

• 40. Spending on BLU classified by economic classification (type of expenditure), organization, and

function.

• 41. Economic classification for BLU, namely personnel expenditure, spending on goods, and capital

expenditures.

• 42. The difference between income-LRA and expenditure on BLU during the reporting period are

recorded in the heading Surplus / Deficit-LRA.

• 43. The financing transactions may occur in the BLU borrowing transactions and / or long-term
• investment. Financing revenue on BLU occurs during long-term loans received and / or

divestment of long-term investments held. Meanwhile, spending on BLU financing occurs during long-term loan repayment and / or long-term investment spending.

• 44. Acceptance of financing on BLU recognized when cash is received BLU endorsed by units that

have a common treasury functions.

• 45. Spending on BLU financing expenses are recognized when financing was passed by the unit that

has a common treasury functions.

• 46. Addition of principal investment coming from BLU revenue recognized as financing expenses.
• 47. Any excess / less between revenue and financing expenses during the reporting period are

recorded in Net Financing.

• 48. Any excess / less-LRA between actual revenue and spending, as well as financing revenues and

expenditures during the reporting period are recorded in the heading SiLPA / SiKPA.

• 49. If the BLU receive a budget allocation apart from the accounting entity / entities reporting under

whom he then BLU arrange LRA in accordance with the entity accounting / reporting entity that allocates the budget.

• 50. The budget allocation received by BLU referred to in paragraph 49 is not related to budget

allocations in return for services rendered by the BLU to the reporting entity that allocates the budget, for example, the budget allocation for the Revolving Fund given by BUN / BUD to BLU are under the ministries / agencies / local authorities / SKPD.

• 51. Examples BLU LRA format presented in illustration of this PSAP. Illustrations are examples only

and are not part of the standard. The purpose of this illustration is to describe the application of the standards to assist in financial reporting.

STATEMENTS OF CHANGES IN BUDGET BALANCE EXCEED

• 52. Statement of Changes in Budget Balance More presents information increases or decreases

Budget Balance Over the reporting year compared with the previous year.

• 53. Statement of Changes in Budget Balance More BLU serving comparatively with the previous

period the following items:

• a. Budget Balance Excess, Beginning;
• b. Use of Budget Balance Excess;
• c. Surplus / Less Budget Financing of the current year;
• d. Previous year Bookkeeping Error Correction;
• e. Etc; and
• f. Budget Balance Excess, Ending.
• 54. In addition, the BLU present more details of the elements contained in the Statement of

Changes More Budget Balance in the Notes to the Financial Statements.

• 55. Sample format for BLU Statement of Changes in Budget Balance Excess presented in illustration
• f this PSAP. Illustrations are examples only and are not part of the standard. The purpose of

this illustration is to describe the application of the standards to assist in financial reporting.

BALANCE SHEET

• 56. Balance Sheet describes the financial position of an entity's reporting on the assets, liabilities

and equity as of a specific date.

• 57. Balance BLU serving comparatively with the previous period the following items:
• a. Cash and cash equivalents;
• b. Short-term investments;
• c. receivables from BLU activities;
• d. stock;
• e. Long term investment;
• f. fixed assets;
• g. other assets;
• h. Short-term liabilities;

i. long-term obligation; and j. Equity.

• 58. Cash and cash equivalents on the BLU balance sheet represent cash derived from BLU income

either has or has not been recognized by the unit that has a common treasury functions.

• 59. Cash in BLU are already accountable to units that have a common treasury functions are part of

Budget Balance Excess.

• 60. In the framework of the calculation of cash balances with SAL record on BLU, BLU must be able

to identify the cash in BLU derived from the revenue that has been recognized by the unit that has a common treasury functions.

• 61. BLU-characteristic can manage the cash that does not belong to BLU and / or remaining cash

investment funds originating from APBN / APBD.

• 62. The BLU cash funds that do not belong to BLU recognized as cash and cash equivalents.
• 63. The cash funds referred to in paragraph 62, consist of:
• a. Funds deposited by third parties;
• b. Bail; and
• c. Advances for hospital patients.
• 64. Cash coming from the rest of the investment fund APBN / APBD recognized as other assets.
• 65. Payment of cash from BLU revenues in the current year and the previous year was recorded as a

deduction of equity in BLU and as an addition in Central Government / Local.

• 66. In accordance with laws and regulations, BLU can’t make long-term investments except with the

approval of the Minister of Finance or the Governor / Regent / Mayor. Long-term investment consists of a permanent and non-permanent investment.

• 67. BLU Permanent Investments, consist of equity participation.
• 68. BLU Investment non-permanent, consist of, as follows:
• a. Investment lending to other parties;

• b. Investments in the form of a revolving fund; and
• c. Other non-permanent investments.
• 69. Although the investment holdings in BLU is in BUN / BUD, but the investment is still reported in

the BLU financial statements. The treatment of the investment reporting is consistent with BLU status as a reporting entity, in which all economic resources used by BLU in implementing their duties and functions in serving the community should be reported in BLU financial statements.

• 70. BUN / BUD as an owner of an investment also reporting noted investment by BLU in the

financial statements BUN / BUD.

• 71. Sample format for BLU Balance Sheet presented in illustration of this PSAP. Illustrations are

examples only and are not part of the standard. The purpose of this illustration is to describe the application of the standards to assist in financial reporting.

STATEMENTS OF OPERATIONS

• 72. Statements of Operations (LO) present an overview of the economic resources that increase

equities and their use are managed by the state/regional government for governance activities in the reporting period.

• 73. BLU Statements of Operations Structure include items as follows:
• a. Revenue-LO;
• b. Expense;
• c. Surplus/deficit from operating activities;
• d. Non-operating activities;
• e. Surplus/deficit before Extraordinary Items;
• f. Extraordinary Items; and
• g. Surplus/Deficit-LO.
• 74. BLU serves revenues-LO that classified according to sources of income, which consists of:
• a. Revenue from the allocation of APBN / APBD;
• b. Service revenue sourced from the public;
• c. Service revenue derived from the accounting entity / entities reporting;
• d. Results of cooperation revenue;
• e. The revenues from grants in the form of cash / goods / services; and
• f. Other BLU revenues.

Further details of sources of income are presented in Notes to Financial Statements.

• 75. BLU presenting expenses which classified according to the type of expense. Another

classification is required pursuant to the provisions of the applicable legislation, presented in the Notes to the Financial Statements.

• 76. Revenue-LO on BLU recognized when:
• a. The right of income arises;
• b. Revenue is realized, i.e. the inflow of economic resources.
• 77. Revenue-LO on BLU acquired as a reward for a service that has been completed in accordance

with the legislation, are recognized at the time of the existence of right to collect rewards.

• 78. Revenue-LO on BLU that recognized when realized is a right that has been accepted by the BLU

without any existence of billing.

• 79. Revenue-LO on BLU is non-tax revenue.
• 80. Accounting for revenue-LO is implemented based on gross principle, i.e. by recording gross

revenue, and does not record the net amount (after partially offset by expenditures).

• 81. In terms of the amount of a deduction against gross income-LO (costs) which are variable on the

income in question and can not be estimated in advance because the process has not been completed, then the gross principle can be excluded.

• 82. Especially for revenues of Joint Operation (KSO), are recognized on the basis of net by first

issuing a revenue share that is the right KSO partners.

• 83. Expenses on BLU recognized when:
• a. incurrence of a liability;
• b. the consumption of assets; and / or
• c. the decrease in economic benefits or service potential.
• 84. When the incurrence of a liabilities is the time of the transfer of rights from other parties to the

BLU without being followed by cash disbursements.

• 85. What is meant by the current assets consumption are cash disbursements to other parties that

are not preceded the incurrence of liabilities and/or consumption of non-cash assets in the BLU

• perational activities.
• 86. The decrease in economic benefits or service potential occurs when the impairment of assets in

connection with the use of the relevant asset/the passage of time. An example decreases in economic benefits or service potential is depreciation or amortization.

• 87. Expenses on BLU classified by economic classification.
• 88. Economic classification for BLU i.e. employee expenses, cost of goods, allowance expense, and

depreciation expenses of fixed assets/amortization.

• 89. Example for BLU Statement of Operations format presented in the illustration of this standard.

Illustrations are examples only and are not part of the standard. The purpose of this illustration is to describe the application of the standards to assist in clarifying their meaning.

CASH FLOW STATEMENT

• 90. Statement of Cash Flows in the BLU provide information about the sources, uses, changes in

cash and cash equivalents during the accounting period, and the cash balance and cash equivalents on the reporting date on BLU.

• 91. The cash inflow and outflow are classified by operating, investing, financing, and transitory.

Operating Activities

• 92. The cash inflow from operating activities are primarily derived from:
• a. Revenue from the allocation of APBN/APBD;
• b. Service revenue sourced from the public;
• c. Service revenue derived from the accounting entity/reporting entities;
• d. Results of cooperation revenue;

• e. The revenues from grants in the form of cash; and
• f. Other BLU revenues.
• 93. The cash outflow for operating activities is mainly used for:
• a. Employee payment;
• b. Payment of goods;
• c. Interest payment; and
• d. Other payments / Extraordinary Events,

Investing Activities

• 94. Investing activities are the activities of cash receipts and disbursements that intended at the

acquisition and disposal of fixed assets and other investments, excluding short-term investments and cash equivalents.

• 95. Cash flow from investing activities reflects the gross cash receipts and expenditures in the

context of the acquisition and disposal of economic resources that purposed to promote and support BLU services to the community in the future.

• 96. The inflow of cash from investing activities, consist of:
• a. Sale of Fixed Assets;
• b. Sales of Other Asset;
• c. Proceeds from divestment; and
• d. Sales of Investments in Securities.
• 97. Investments made by BLU can be derived from BLU income and APBN/APBD. Proceeds from

Divestment as referred to paragraph 96 letter c and Sales of Investments in Securities as referred to paragraph 96 letter d that constitutes receipts of the divestment and sale of investments that from BLU income and investment derived from APBN / APBD.

• 98. The outflow of cash from investing activities, consist of:
• a. Acquisition of Fixed Assets;
• b. Acquisition of other assets;
• c. Capital investments;
• d. Purchase of Investments in securities; and
• e. Acquisition of other long-term investments;
• 99. Disbursements on capital investment as referred to paragraph 98 c, purchase of investments in

securities referred to in paragraph 98 d, and the acquisition of other long-term investments as referred to paragraph 98 letter e is an expenditure of the divestment and the purchase of investments derived from BLU incomes and investment spending from APBN / APBD.

Financing Activities

• 100. Financing activities are activities that cash receipts and disbursements are related to the

provision of long-term loans and / or repayment of long-term debt which resulted in changes in the amount and composition of long-term loans and long-term debt.

• 101. Cash flows from financing activities reflect the cash receipts and disbursements related to the

acquisition or granting long-term loans.

• 102. The inflow of cash from financing activities, including the following:
• a. Loans receipts; and
• b. Receipt of funds from the APBN / APBD to be invested.
• 103. As part of the State government and regional governments, BLU can obtain funds from APBN /

APBD for BLU investment purposes. Receipt of funds from the APBN / APBD to be invested as referred to paragraph 102 b constitutes receipts of funds from APBN / APBD which presented as BLU managed funds in a group of other assets and long-term debt to BUN / BUD on the balance sheet.

• 104. By recognizing receipt of these funds as debt, BLU must recognized receipt of the funds in cash

inflows in financing activities. Conversely, if the BLU deposit back the investment funds to BUN / BUD then depositing the investment funds are recognized as an outflow of cash in financing activities.

• 105. The outflow of cash from financing activities, including the following:
• a. Principal payments; and
• b. Return on investment funds of APBN / APBD to BUN / BUD.
• 106. Return on investment funds of APBN / APBD to BUN / BUD as referred to paragraph 105 b is a

return on investment that comes from APBN / APBD for withdrawal of investment funds from the public.

Transitory Activities

• 107. Transitory activity is the activity of cash receipts and disbursements that are not included in
• perating, investing, and financing activities.
• 108. Cash flow from transitory activity reflects gross cash receipts and disbursements which do not

affect revenues, expenses, and government funding. Cash flows from transitory activities, consist of Calculation of Third Party (PFK) transactions. PFK describes the cash from the funds received in cash to a third party, such as tax discount.

• 109. The inflow of cash from transitory activities, including PFK receipts.
• 110. The outflow of cash from transitory activities, including PFK disbursements.
• 111. Example for BLU Statements of Cash Flows format is presented in this PSAP illustration.

Illustrations are examples only and are not part of the standard. The purpose of this illustration is to describe the application of the standards to assist in financial reporting.

Statement Of Changes In Equity

• 112. Statement of Changes in Equity presents the increase or decrease in equity in the current

period compared with the previous period.

• 113. The BLU Statement of Changes in Equity present at least the following items:
• a. Beginning Equity;
• b. Surplus / deficit-LO in the period in question;
• c. Corrections that directly increase / decrease equity, which came from the cumulative

impacts caused by changes in accounting policies and correction of fundamental errors, for example: 1) Correction of fundamental error of the inventory that occurred in prior periods; and

2) Changes in the value of fixed assets due to fixed asset revaluation.

• d. Ending Equities.
• 114. In addition, the BLU present more details of the elements contained in the Statement of

Changes in Equity in the Notes to the Financial Statements.

• 115. The BLU Statement of Changes in Equity sample format presented in illustration of this PSAP.

Illustrations are examples only and are not part of the standard. The purpose of this illustration is to describe the application of the standards to assist in financial reporting.

CONSOLIDATING OF PUBLIC SERVICE AGENCY FINANCIAL STATEMENTS TO THE ACCOUNTING ENTITIES / REPORTING ENTITIES FINANCIAL STATEMENTS

• 116. Budget Realization Report, Balance Sheet, Statement of Operations and Statement of Changes

in Equity from BLU were consolidated in the financial statements of the accounting entity / reporting entities which supervised it.

• 117. All revenues, expenditures, and financing in the LRA BLU consolidated into accounting entity /

reporting entities LRA which supervised it.

• 118. In accordance with the characteristics of the accounting entity / reporting entities which have

no BLU status, LRA elements such entity consist of income and expenditure and do not have an element of surplus / deficit and SiLPA. In the case of accounting entities / reporting entities

• versees the BLU work unit, those accounting entity / entities reporting consolidated LRA

follows the BLU’s LRA format.

• 119. Cash Flow Statement consolidated at unit’s Cash Flow Statement which have a common

treasury functions.

• 120. Transactions in the BLU Cash Flow Statements which consolidated in units Statement of Cash

Flows that have a common treasury functions are income, expenditure, and financing that has been approved by the unit that has a common treasury functions.

• 121. The BLU Statement of Changes in SAL is not consolidated to the reporting entity's financial

statements which oversees it because those reporting entities did not present the Statement of Changes in SAL including local government.

• 122. Statement of Changes in SAL consolidated in the State / Local General Treasurer Statement of

Changes in SAL and reporting entities that prepare consolidated financial statements.

• 123. In order to consolidating BLU financial statements into the financial statements of entities that
• versees it, is necessary to eliminate the reciprocal accounts such as revenues, expenses, assets

and liabilities which derived from the accounting / reporting entities in a single governmental entity unless accounts of income and expenditure in the LRA are derived from the accounting / reporting entity as stated in paragraph 31 letter b.

TERMINATION OF PUBLIC SERVICE AGENCY WORK UNIT UNITS INTO REGULAR WORK UNIT

• 124. According to the provisions of law, the government can revoke the status of BLU financial

management pattern at the working unit of the state ministries / agencies / local authorities.

• 125. In terms of the work unit no longer apply BLU financial management pattern, then the work

unit should prepare financial statements as well as other government accounting entities, and the work unit must prepare financial statements cover per the date of revocation status as BLU.

EFFECTIVE DATE

• 126. The Government Accounting Standard (PSAP) is effective for the preparation and presentation
• f

financial statements start from period

• f

1 January 2016