Corporate India's New Tongue....XBRL

Extensible Business Reporting Language (XBRL) a computer language is what Corporate India is learning these days. The language is adopted as it helps in reading and analyzing in various ways which were not possible before. To go into more detail, the financial data which is prepared in Microsoft Excel, Word, HTML or PDF formats can only be read but, not analyzed hence, making the analysis task to be done manually which consumes lot of time and efforts.

To cope up with the above difficulties the Corporates are moving upon a free and globally available open standard format (i.e. XBRL) which is used for the electronic transmission of financial and Non-financial information within an organization or External users. Extensive Business Reporting Language (XBRL) makes the data machine-readable and bridges the gap between several business systems.

To make sure that every Corporate Firm in India learns XBRL the Ministry of Corporate Affairs (MCA) has recently issued a notice to all the corporate firms in India to file their balance sheet, profit and loss account and other statements in XBRL open standard format. In case any Firm misses the deadline date (i.e. September, 2011) the firm will have to pay additional filling fee hence, causing the firms to learn the language in short period of time.

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