eXtensible Business Reporting Language (XBRL)

What Is eXtensible Business Reporting Language?

XBRL or eXtensible Business Reporting Language is a software standard that was developed to further develop the manner by which financial data is imparted, making it more straightforward to gather and share this data. Strikingly, eXtensible Business Reporting Language is an implementation of XML (extensible markup language), which is a detail that is utilized for putting together and characterizing data online.

XBRL utilizes labels to distinguish each piece of financial data, which then permits it to be utilized programmatically by a XBRL-viable program. XBRL considers simple transmission of data between businesses.

Understanding eXtensible Business Reporting Language

Envision that you are taking a gander at an organization's financial statements online on the organization's website. Generally, these statements would basically be in plain text. If you wanted to put these numbers into a bookkeeping sheet file to run analysis on the statements, you would need to either physically type or copy and glue each account and comparing number into the calculation sheet.

Notwithstanding, on the off chance that the data on the site was accessible in eXtensible Business Reporting Language (XBRL), you could basically change over this data from the website into a calculation sheet program (generally immediately) that is XBRL viable.

Due to the standardized idea of the identification labels and the actual language, financial data from one country, which has set accounting standards like U.S. GAAP, can be handily aggregated into the accepted accounting standards of another country even assuming that they are definitely unique. The reporting of financial data in XBRL isn't required by all companies, but since it has become pervasive, it has been suggested that soon all companies should report their financial data in this language. iXBRL, where i represents inline is an update that considers XBRL metadata to be embedded in a HTML document.

XBRL was developed in 1998 with rendition 1.0 by the American Institute of Certified Public Accountants (AICPA). The most recent rendition of the standards, v2.1 was formalized in the year 2003. While the v2.1 standard has stayed stable from that point forward, several XBRL modules have been developed that can be connected to accomplish new usefulness or operability.

Features

• XBRL depends on XML coding and is a standardized approach to communicating financial records around the world.
• eXtensible Business Reporting Language (XBRL) is an unreservedly accessible global structure of accounting standards utilized for trading business data.
• The latest rendition of XBRL, v2.1, was distributed in 2003 and has stayed stable. Several discretionary modules exist as additional items.