Glossary of Terms beginning with F

UN form for Travel Claims

Fair value is the amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm's length transaction.

Functional Acceptance Test(ing)

Financial Accounting - SAP module covering General Ledger, Accounts Payable, Accounts Receivable, and Asset Accounting.

Finance and Budget

Final budget is the original budget adjusted for all reserves, carry over amounts, transfers, allocations, supplemental appropriations, and other authorized legislative, or similar authority, changes applicable to the budget period.

Finance lease is a lease that transfers substantially all the risks and rewards incidental to ownership of an asset to the lessee. Title may or may not eventually be transferred.

Any asset that is: (a) Cash; (b) An equity instrument of another entity; (c) A contractual right:
(i) To receive cash or another financial asset from another entity; or
(ii) To exchange financial assets or financial liabilities with another entity under conditions that are potentially favorable to the entity; or
(d) A contract that will or may be settled in the entity's own equity instruments and is:
(i) A non-derivative for which the entity is or may be obliged to receive a variable number of the entity's own equity instruments; or
(ii) A derivative that will or may be settled other than by the exchange of a fixed amount of cash or another financial asset for a fixed number of the entity's own equity instruments. For this purpose the entity's own equity instruments do not include puttable financial instruments classified as equity instruments in accordance with paragraphs 15 and 16, instruments that impose on the entity an obligation to deliver to another party a pro rata share of the net assets of the entity only on liquidation and are classified as equity instruments in accordance with paragraphs 17 and 18, or instruments that are contracts for the future receipt or delivery of the entity's own equity instruments.

Financial instrument is any contract that gives rise to both a financial asset of one entity and a financial liability or equity instrument of another entity. All financial instruments are either financial assets or financial liabilities but not all financial assets are financial instruments.

Financial liability is any liability that is a contractual obligation: (a) to deliver cash or another financial asset to another entity; or (b) to exchange financial instruments with another entity under conditions that are potentially unfavourable.
An entity may have a contractual obligation that it can settle either by payment of financial assets or by payment in the form of its own equity • securities. In such a case, if the number of equity securities required to settle the obligation varies with changes in their fair value so that the total fair value of the equity securities paid always equals the amount of the contractual obligation, the holder of the obligation is not exposed to gain or loss from fluctuations in the price of its equity securities. Such an obligation should be accounted for as a financially ability of the entity.

Financial risk includes the risk of a possible future change in one or more of a specified interest rate, financial instrument price, commodity price, currency exchange rate or other variable provided, in the case of a non-financial variable, that the variable is not specific to a party to the contract.

Financing activities are activities that result in changes in the size and composition of the contributed capital and borrowings of the entity.

Functional Integration Testing

A construction contract in which the contractor agrees to a fixed contract price, or a fixed rate per unit of output, which in some cases is subject to cost escalation clauses.

Funds Management - SAP module covering management of funds and budgets.

Financial Management applies to an organization's financial strategy. It also refers to the efficient and effective management of financial resources as to accomplish the objectives of the organization.

Fuel Management System

Freight Order - an order whose execution is planned by a carrier or the shipper. It typically contains a plan for logistical processing, planned departure times and execution data.

Foreign currency is a currency other than the functional currency of the entity.

A foreign operation, the activities of which are not an integral part of those of the reporting entity.

Foreign operation is an entity that is a controlled entity, associate, joint venture or branch of a reporting entity, the activities of which are based or conducted in a country or currency other than those of the reporting entity.

Form Report Interface Conversion Enhancement Workflow

Functional Specification Document

Full Time Equivalents

Freight Unit - a set of goods that are transported together across the entire transportation chain.

A master data element that is maintained within the Funds Management (FM) module but is used in FI/CO as well to classify revenues and expenditures of an organization by function. It is intended to represent a functional view of an organization. Functional Area is not hierarchical and can cross organizational entities.

Functional currency is the currency of the primary economic environment in which the entity operates. For the UN this is considered to be the US$.

Hierarchy element that serves as a logical or physical address where equipment can be installed.

Program within Funds Management (FM) with an operational purpose and defined time frame. They can range from simple activities to complex projects and can cross the organization's fiscal years, funding sources, and Organizational Units.

An Organizational Unit within the Funds Management module (responsibility areas, departments) that controls a budget.