Three-dimensional accounting simplifies the implementation of the Charity SORP.
On every type of income (sales invoice) you record not only the classification of the income using the nominal or general ledger code for that income type, but also the fund that it goes into.
Then, for every purchase invoice you record not only they classification of the expenditure using the nominal code, but you record the activity it was spent on and the fund that is being used to pay for it.
In system terms you record the classification of the income or expenditure using the nominal codes, and then use the Fund analysis code to manage the balance in the fund and the Activity Analysis code to identify which activity is being supported.
Recording this extended information, which is necessary to comply with the Charity SORP, is simple with Aedon.Charities.