Transcripts
1. Introduction to Accounting and Bookkeeping using ChatGPT: Got for you a very
important question. Let me see if you're
able to find the answer. If I present to you two
different businesses, one of them that makes
$1,000,000 per year in the form of revenue and got $1 million
in the form of expenses, and another business that
makes $1 per year in the form of revenue and got
$0 in the form of expenses. Which one is more
profitable in your opinion? Now, if it took you a while
to figure this one out, it means we need to get your
accounting skills in check. As an entrepreneur,
as a creative, as a freelancer, someone who's actually looking forward
to grow their business, you need to understand basic
accounting principles, but it could get
quite complicated. It takes a lot of time, a lot of effort, and it's a hassle. Trust me, I've been there, done the whole accounting
practice over the years. I've learned how to apply them, and I did them manually, and it's a headache.
However, not anymore. In this current powerful course, I'm going to show you how
to harness the power of artificial intelligence,
specifically Chad GPT, to go through the entire
accounting sequence of activities from A to Z
without the whole hassle, without the headache,
saving you time, saving you effort, and not
compromising on quality. On the contrary,
you'll be getting results which are way
better than yours. In this current powerful course, we're going to go through
the entire journey of accounting for
business professionals, for entrepreneurs,
for creatives. Freelancers that
way you're walking out of this class with
very powerful skills, which will make a difference in terms of your development. We're talking about
journal entries, logging the transactions,
categorizations, creating the trial balances, ledgers, bookkeeping, coming up with the
financial statements, profit and loss, cash
flow, income statements, conducting data
analysis, visualization, interpreting the
data, understanding the strengths and weaknesses of your businesses, and much more. And not just that.
I'll be provided with exclusive resources,
prompt engineering guides, and prompt packs that you could use to help you fine tune all of these lessons and map them to
your own unique situation. All of these are going to be tackled in this powerful class.
2. Your Project: Your project for the class
revolves around creating actually generating your
own financial statements. You heard me right. You're going to apply
the key lessons taught in this current class, and there's nothing
to be concerned about because if you've
learned them properly, you're going to go through the whole process in the
easiest way possible. We're talking about
generating income statements, profit and loss, cash
flow statements. Usually this takes
a lot of time, takes months to prepare, and through these lessons, it will take you minutes. After which you're
going to be sharing your results with the rest of
the community for feedback.
3. Priming ChatGPT For Accounting Success: Welcome back. Now, I
truly hope that you're quite excited as
I am to go about this powerful application of using artificial
intelligence, specifically HATGPT for
accounting purposes, whether for your day to
day activities at work as an accountant or someone running a business or someone
acting as a CPA, for example, all of
these tactics will help you transform your
accounting practice. And the first thing
that we need to do in this current lesson is to set up HAT GPT in
the best way possible. We need to navigate
simply to chapt.com, which is part of Open AI. You can put this
on Google in order to write the web address, and you'll be prompt
to create an account. You can use a free account. Everything that we
are doing can be done completely as part
of the free account. However, if you go
for the plus account or the paid
subscription for HGPT, you'll get more dedicated
memory and more power. But all of these applications
that we're going to be doing they are
completely for free. The first step
that we need to do is land at the prompt window, and we need to do
what's called as prompt priming or
in other words, as part of prompt engineering, which is chat GPT priming. What do I mean by this? When
we are priming chat GPT, we need to put it in a
certain context to behave in a certain way in order to get
the best results possible. And now I'm going to show
you how to go about this. So I'm going to
use the word act. You can use behave or you are or put on your
specific role hat. There are different
ways to go about this. But the simplest way is act as a professional, accountant. And I want you to
be my assistant, okay, as part of my
accounting department. To help me department, here we go to help me with my current activities. Let's break down the
prompt over here. If you notice, I've
given Chad GPT a role. Act as a professional
accountant. I want you to be my
assistant as part of my accounting department to help me with my
current activities. So I'm dedicating Chat GPT
to act as an accountant, behave as an
accountant and apply key accounting principles that align with the current role, for example, that
I would like it to behave at or operate at. So you can just
simply keep it as a professional accountant
instead of being my assistant. But I chose to use my assistant Y because
you as a professional, you cannot just simply depend on AI to do everything for
you. On the contrary. You need to have
that back and forth. I would like it to call as
Ping Pong communication between CHAD GPT and
yourself in order to be able to get powerful results
and save you time through the whole hassle without jeopardizing the
quality of the work. So how do I confirm that HAGPT actually understood
what we're going to do? So I'm going to use this prompt. Enter. Let's take a look at the actual results
that we get from CHA GPT and go through
the results that we're getting in terms of their
response to help us confirm. Did CHAD GPT understand
what I needed to do? Let's take a look
at the response. Absolutely, I'll act as
your accounting assistant. You can treat me as part
of your internal team. Excellent. This is
great confirmation. Just let me know what you're
currently working on, and I'll support
you step by step. Now. Here are a few
things I can help with. Monthly closing task, journal entries, accruals,
reconciliations. If you are a
professional accountant, you know how powerful
and hectic these tend to be, accounts receivables,
pabletracking, trial bounce preparation, financial statement,
adjusting journal entries, bank reconciliation, payroll, excel based
automation template, compliance and audit prep. This by itself, confirms that Chat GPT has put on the role of a
professional accountant, and it's ready to
tackle the tasks. How do I confirm this? Simply by taking a look at the response that we're getting. Every single one of those is part of your
accounting practices, as a professional
accounting firm or as part of your business
accounting or as a CPA, or if you're an accountant
working with a company, you do these on a
day to day basis, month to month basis, weekly basis, quarterly basis, you're able to do
these actions, right? Let's take a look at the
final response from hat GPT. Let me know what specific
tasks you're doing right now or need help with
and I'll jump in. Now, at this current stage, we have primed Chat GPT, I'm going to guide you
through the process, how would you go about
utilizing it for accounting purposes
in a systematic way. Now, obviously, you
could tinker with this like you're able to just simply
jump onto a certain task, but I would not recommend this. Why? Because every single
one of those needs a proper sequence of events in order to get the
best results possible. This is what I'm going to
be showing you as part of the current class and
as part of the lessons. That way you have a
clear idea how to, first of all,
systematically build up your AI intervention. That's one, to tweak it in
the best way possible and get the results that match your own current case and
your own current situation.
4. Journal Entries and Bookkeeping: And welcome back. So we
have successfully set up CHAGPT to act as an
accountant for us. Now we're going to go
through a sequence of events which will
make everything way too convenient for accountants, business
owners, CPAs. You'll be surprised how
we're going to slice time of your day to day
accounting activities. In this current lesson,
we're going to be utilizing HAGPT AI for bookkeeping
and journal entries. At this current
stage, you can just simply get your receipts,
get your invoices, get your expenses ready
as an accountant, any actual printout, any actual
PDF copy, whatever it is. Now, I'm going to
show you how to utilize this in the
best way possible. So I'm going to tell ChaGPT
right now at this stage, we are going to start
with the journal entries and book keeping activities. Here we go. So at this current
stage, I'm going to just simply document
the transactions. You are going to be collecting whatever transactions
that you are doing, okay? Whatever it is, not just
simply a soft copy, even a hard copy,
you can scan it, you can upload it,
get them ready. Now, step number one, define the period and business type. What is the accounting
period we're working on? What kind of business is it? Service based product
sales hybrid? What is your base currency? Excellent. Now, step number
two, initial transactions, please provide a list of the actual or sample transactions for the period, for example. Take a look at this
powerful example. It's telling you exactly and definitely would be
doing this by yourself, based on the traditional
accounting approach, you have the date
of the transaction, the description of the
transaction, the amount, the type, credit or debit,
the accounts involved. Are very powerful. Just send your list like
this or upload it xl, I prepare the journal
entries, post to accounts, ledger format if needed, and later we move
toward trial balance. If you are a
professional accountant, you know how powerful
this is, right? These are because this
is part of the sequence of steps that you would
do for your department, as part of a company,
for your business. It's very, very
important, right? So I've got for you some
a practice example. I'm going to be adding
some transactions based on a hypothetical case. And then I'm going to show
you how we're going to be utilizing chat GPT, that way to create
the transactions, to come up with the journal
entries and bookkeeping. So what I'm going to do
right now, I'm going to say, I'm going to simply upload the data The data for the company I
am working with. Now, feel free to add
the company details, the period, it's up to you. But I got everything
sorted out for the sake of some simplicity. That way, you're able to
see how things are working. And for the
demonstration purposes, we're going to create a company called Tech fix Solutions. Let me show you all the details. I'm going to simply
upload the data for the company I'm going
to be I'm working with. Here you go. Click Enter. Now at this current stage, simply add your company
details, your own receipts. If you have an Excel sheet, for example, feel
free to add this. Here we go. So I'm going to
add the company details. For example, textfix solutions. Here we go. Now, this is
the name of the company. The name of the company and
the period. Here we go. Add them textfix
solutions, period, March 25, type,
service business, computer repair and parts. This is the name of the company. That could be your own company. It could be your own department, whatever it is that you're
doing accounting for, you can just simply use them. Now, these are the details. We'll be working on
company textfix solutions, service business, currency,
US dollars. Perfect. Once you upload the transaction
data file for March 2025, at this stage, get
your receipts, get your invoices, get all of the transactions,
and get them ready. So I'm going to upload all of the transactions for this hypothetical
company. Here we go. Here's a list of the entries within the required period. You can use quotation
just simply to tell Chat GPT that
after this point, you're going to be
sharing some information that it needs to work on. If you notice over here, I
just simply added the date, the actual description,
and the amount. Click Enter. And let's
take a look at this. So this is a basic list, by the way, copy
paste, a text file. You could actually
just simply take a screenshot and drag and
drop it to the interface, and it will be uploaded. Or if you have an Excel
file, by the way, just simply highlight
everything from the Excel file, copy it and paste it
in the prompt window. Based on the current setup
I'm teaching you right now, you'll be getting
the same results. Take a look at the
journal entries. Take a look at how powerful
how powerful this is. Typically, if you are doing this manually as an accountant,
what would you notice? The entire subject
of debit and credit would take you days if not
weeks to get this over with. Now, we got the date over
here, the account debit, rent expense, inventory,
accounts receivable, Alpha Corp, for example, as part
of the transactions we have with the company,
salary expenses, utilities, and cash, debit credit
the account credited, for example, cash
service revenue. That's very powerful
because this will help you set up the financial
statements, right? You can see the credit as
well and the description. So I'm able to see the actual
date, the account debited, and the account credited and the amount as debit and
credit and the description. See how powerful
this is. And this applies to any other
transaction that you have. This is very, very powerful. And in case you
forgot something, you can just simply type in add this transaction and just
simply add the details. You can copy it. Here we go. You open a quotation mark and add the detail,
for example, XYZ, and then you close
the quotation mark and just simply click Enter, and this will help Chat GPT update the journal entries
as part of a ledger. It's like updating things
over and over again. Like I mentioned, you could
add your own receipts, add your own Excel file as is, and just simply confirm once
it's done that you were able to come up with the
journal entries, and they align perfectly based on your own
preferences, right? So this could be a
list of ten items, 20, 30, 40, 50, whatever it is. And if you would like to
edit something as part of the final journal entries for the current
accounting period, you can just simply type add, remove or replace, and Chat GPT automatically
will fix this for you. So at this current
stage, we've gotten into a very important step as part of our
accounting journey, which is basically
the transactions. The journal entries,
like I've mentioned, just simply for the
demonstration purposes. I've got for you a
hypothetical case or for a hypothetical company, we called it the
details are over here. We called it Tex fix. Here we go. Tex fix solutions. It's a service business
for the period, March 2025, the currency, and this will be
uniquely different to your own company,
by the way, right? Why is this important to
add the company details? Because once we add all the
list of transactions, Okay, when the journal entries get
updated, the description, the account debited and
credited is going to be aligned based on the
nature of the company. If you notice over
here, accounts receivable, service revenue. Here you got rent
expense as cash, inventory computer
parts as cash. So we'll take into
account the context. Of your organization
to save you time, trying to come up with
the descriptions by yourself or trying to figure out the name of the account
debited or credited. So it's very powerful, and
it saves you a lot of time. Now, at this current
stage, feel free, like I mentioned, to add any
entry that you would like. Do not get limited with
the current application. You can take a screenshot
or upload an invoice, a receipt or copy an Excel file and simply drag it and drop it to
the window over here, and this will be sufficient
to add to the current journal entries list to get all of the transactions ready for
the accounting period. Now we are ready to
transition to the next step.
5. Accounts Payable and Receivable: And welcome back. So we have set up our transactions list, journal entries as part
of our bookkeeping. And in this current lesson,
I would like to dedicate some attention to
account payables and account receivables. Every single professional,
every single accountant, really understands how
hectic it is to update your financial
statements based on account receivables
and account payables. So how do we go about
this? It's very simple. I'm going to have HAGPT right
now before it takes into account preparation for the
ledger or the trial balances, I'm going to have it
take into account certain account receivables
and account payables. So I'm going to
mention I want to add some account receivables and account payables before we generate the ledgers
and trial balances. Here we go. So once you
add in this prompt, this will help me actually incorporate as much business accounting details
as much as possible. And often you tend
to find accounts receivables and
account payables, they vary up to the last
minute of your business. So over here, you'll notice that Chad GPT actually provided
you with a sample as well. Here's a quick format
you can follow. The date, the
description, the amount, the type is receivable
or payable, and the party or the company.
This is very powerful. So once you share this, I'll update the entries
accordingly and proceed to generate the general
ledger and trial balance. So what I'm going to
do is, I'm just simply going to add this as is. Feel free to add your own
organization details. It's up to you. So I'm going
to just simply add this, and I'm going to
change the amounts. I'm going to go for
2000 201,700 and change the name of the
company to Ganma for example, whatever that means, okay. Then tech arts instead of
tech parts. Here we go. So I've added the details
right now as part of my account receivables
and account payables. So if you notice
over here, great. Now I've added two
additional entries to the journal for account
receivable and accounts payable. The updated journal entries
for tex fixed solutions, March 25, if you'll notice, we've added some details. Over here, we got
accounts receivable. Let's spot this. Where is it? Tech parts, Alpha Corp. Now, you need to spot these details,
by the way, here we go. 2000 201,750. So it has added these amounts. But if you notice, it did not
fix the description, right? This is very powerful because
as part of the process, you'll notice if you don't
upload the file properly, even though if you do, still
hATGPT makes mistakes. That's why it's acting
as your assistant. It will not replace you, but it will get a lot of
heavy lifting from your job. Tech parts over here, this one needs to
be fixed as well. So I'm going to
mention here we go. In case if you spot any errors, this is how you tackle this. I noticed that the new entries
description is wrong. The name of the company
or the companies. We said it's Gumna. Here we go. Gum, whatever it is. And tech arts. Here we go. So now I've highlighted
this to Chad GPT. Thank you for the correction, so it's going to fix this. So let's take a look at the
updated details. Here we go. Yes, I took it into account,
accounts receivable, Gum, then accounts, here we go. Payable, tech arts. That's perfect. That's perfect. So now we've incorporated accounts receivable account receivables and
account payables. And this applies to any
transaction, by the way. Okay. You can just simply keep
following with the same steps. So this covers the
incorporation of account receivables and account
payables, and feel free, by the way, like I mentioned, you do have an
invoice, you do have an excel sheet or
a manual entry. This will do. Just
simply mention it's an account receivable
or an account payable, and this will update your
entries on the spot. At this current stage,
now we are ready to transition to the next
step in the process.
6. Ledgers, Trial Balances and Adjustments: And welcome back. So we have created the full on entries as part of the
bookkeeping activity, including expenses, cash
flow, account receivables, account payables,
and feel free to add whatever unique category that
you have for your business. At this current stage,
I'm going to show you how we could
create, first of all, the ledger for specific
accounts such as cash, accounts receivable,
accounts payable expenses, and it's up to you to generate whatever ledger that you'd like. If you're not familiar
with ledgers, which you should be as an
accounting professional, it's simply account's
account level allocation for transactions based
on their similarity. For example, cash transactions, we create a cash ledger
account receivables, we create an account
receivable ledger. I'm going to show you
how to go about this. And then we're going to have
the full on general ledger, which will help us
in the creation of the trial balances
that we're going to be using for the financial
statements, right? So let's transition to
generating the a ledger first, create the case
Ledger, click Enter. So this by itself is going to reflect the
ledger that we have. If I click over here,
expand the table, you're able to see the
date of the transaction, the descriptions which
are related to cash only, debit, credit, and the balances. This is very powerful. Then we're going to
proceed with create the accounts receivable ledger. Here we go. And we're going to
click Enter as well. Excellent. So we got
the cash ledger. Now we got the accounts
receivable ledger. Let's expand and take a look at the details. That's
very powerful. It includes the
dates, description, debits, credits,
and the balances. Again, very powerful
application, saving us a lot of time. And now we're going to
be proceeding proceed with accounts
payable. Here we go. And feel free to create as
many ledgers as you want, based on your own unique case. I'm going to add in as well the expenses summary and the revenue ledger for
demonstration purposes. Here we go. Accounts payable. This is the entry
that we have added. Now I'm going to proceed with proceed with service revenue. Here we go. So we're creating
this ledger as well. This is basically an
account based allocation for the transactions within the journals. Why
is this important? When you're going through the creation of the
financial statements, if you find any discrepancy, you can just simply spot
this directly in the ledger compared to going through all of the transactions
or the entries. So we got our service
revenue ledger. Let's take a look at the
details. Here we go. We got the debits,
credits, and the balances. Okay, that's very powerful. Now let's take a look at
the expenses summary, create the expenses. Summary as well. Here we go. Which is very
important as part of the profit and
loss calculations. You need to cover this as well. So let's take a look at
the expenses. Here we go. We got 01 and two, rent expense, salary expense, utilities, and the
total expenses. That's very, very powerful. So at this current
stage, we are able to create the ledgers based on the transactions
that we have. I'm going to create now, create a general ledger. General ledger. Here we go. Reflecting debits and credits. So I'm going to have
a full on ledger, which includes all
of the details that we have encompassed as part of the entries that we
have a clear idea from a macro point of view
about the transactions, the debits and the credits
before we proceed to creating the trial balance or
trial balances. Here we go. This includes the full on
ledger for your business. You got the debits
and the credits, and now we are ready to proceed with generating
the trial balance, generate a trial bounce. And as an accountant, if you're an accountant or someone who's
practicing accounting, whether as part of your own
professional career or within your business or as a CPA
or as a business owner, you need to confirm that once you go through the trial
balances that you do have the debits and credits to be aligned. Let's
take a look at this. So if I expand this, you would notice these
are the accounts. This is the debit column,
the credit column, take a look at the total
debits equal to credits. This confirms, if you
do this manually, this takes you a lot of time. Even if you go on Exxon try to you might have an
error here and there, and good luck figuring this
out within a couple hours. I've been there. I've tested this out,
going through Exo. If you miss an entry, then once you get to the point you're creating
the trial balance, you'll find out that
you have a mismatch, and to find where is
it on the debit or the credit side will
take you a lot of time. So we're saving you from
the whole hassle of this. And here's the trial balance for the period of March 2025, showing the total debits
and credits fora account. Now, let me know if
you'd like to include revenue and expenses
accounts and trial balances. Sport the full accounting
package, journal entries, ledgers and trial balance, proceed with adjusting entries
or financial statements. Now, let's say I would like
to adjust certain entries. I'm going to mention adjust entries based on
the current data. Here we go. Feel free to add whatever adjustments
that you have. So I'm going to
add, for example, depreciation expense and
accumulated depreciation or a salary expense. These are typical
stuff that you might find across your
accounting practice, depreciation expense,
accumulated depreciation and salary expense, okay? So I've added some adjustments, which could be a
realistic application within your day to
day activities, and this by itself
will impact, again, the trial balances
and the entries. Let's take a look at the reconciled or the
finalized trial balance. Yes, the adjustments
have been made incorporating the transactions
that have been added. So here's the adjusted
trial balance, including deprecion expense
and accumulated depreciation, additional salary expense of $300 and salaries
payable liability. This is very powerful, why? Because it's fixing all related accounts, the
accounts payable, the trial balances, fixing the required ledgers
for the designated account, so everything is
done automatically. You don't have to
do this manually. So at this current state, we are able to create
our ledgers and trial balances and do any
adjustments necessary. Now we are ready to dive into creating one of
the most important, if not the most important aspect of your
accounting practice, which is the
financial statements. Right? Stockholders,
stakeholders, stock owners, company owners, business
owners across all sizes, accountants, CPAs, chief,
financial officers. They all depend on these. The income statements,
the balance sheets, the cash flow statements. And I'm going to show you how
to create them with ease. I'm not just that. I'm going to show you how to
export all of these. Simply, you'll have
ready made files that you could use and refer
to whenever that you need. This will save you time,
save your effort as part of your accounting practice.
Let's proceed to that.
7. Profit and Loss Statement: And welcome back. And I truly
hope that you're finding some powerful benefits
from these lessons. These are quite
unique, expert level, expert driven premium quality
lessons which are made in a very powerful way to help you acquire powerful skills which
will shape your career, shape your development, whatever walk of life that you're at. So at this current stage, we are going to transition to the development of the
financial statements, and I'm going to start
off with the profit loss. I'm going to mention
we are ready to proceed with the generation of generation of the
financial statements, and we are going to start with the profit and loss statement
and simply click Enter. So the first statement
that we're going to be generating is the profit
and loss statement. Like I mentioned, you are the professional guiding
the process, right? So make sure that you're
not taking the results as is without any sort of audit from your side because things they do happen in terms of the feedback
that you get from AI, so you're guiding the process. Let's take a look at the
profit and loss statement. Here we go. I'm able
to expand this. I got the account, the debit, the credit, the net amount. Okay, good. Now I need it to look in a way, which
is quite presentable. So here's the profit
and loss statement for March showing
total service revenue, $4,600, total
expenses, net profit. Let me know if you'd like to
create the balance sheet. Now, before we do so,
I want this to be displayed as a clear
and organized PDF. Here we go. This is very
powerful that you could use. You could use it for your
own practice and for your own documentation purposes. We're not going to simply
take the values over here or the profit allow
statement from Cha GPT as an excel file, and we need to work with
it on the contrary. This is a ready made solution. So we got the profit
and loss statement. Now let's take a look
at the powerful output that you're going to be getting, which aligns with the hypothetical company that
we're talking about. Your profit and
loss statement for tech fixed solutions,
March 2025. Take a look at the output. Now we're going to be opening
the file. Here we go. This is very, very powerful. Tech fix solutions, profit
As statement for the month, we get account, debit, credit, and net amount. Still, I don't like the layout and the presentation
of the file, right? It looks quite like
a basic chart. So what I'm going
to do right now, I'm going to find
you in the command. The PDF is too generic. I want it in a
format that is like a professional
statement. Here we go. So once you get the output, you can just simply
copy it and paste it at your own company template, for example, you could do whatever tweaks
from your own side, but we could have Chat GPT do the heavy lifting
for us, right? So the PDF is too generic. I want it in a format that is like a professional
statement. Here we go. Now let's take
a look at the output. It should be reflected as a professional statement,
and here we go. Tech fixed solutions,
profit loss statement for the month March 31 31st, 2025. We got the revenue.
We got the expenses, we got the net profit.
That's very, very powerful. If you have created
cash flow statements, profit loss statements,
balance sheets, you'll notice that typically
this is how it looks like in terms of
the arrangements. I'm going to take it one
level further, by the way. Include all necessary accounting
related details in the PDF in case
we missed something. Now, the whole purpose of
this activity is for you to realize that you can go back
and forth with CHAT GPT, having some sort
of a basic output like this to end up
having something professional like this
to actually having a next level professional design or documentation as well. So it's a back and
forth communication. The better that you get
with prompt engineering, the better that you get in
terms of crafting prompts. The better the results will be. Now, let's
take a look at this. Include all necessary
accounting details related to accounting in the PDF in case we
have missed something. This will have CHAD
GPT right now. Take a look at the
previous documents it has generated and try to incorporate any elements which would make it
even more professional. Here you go. So your fully detailed
and professionally formatted profit loss
statement is now ready. This PDF includes company
accounting method details, clear revenue
expenses breakdown, total for revenue
expenses and profit, notes on accounting
basis and assumption. That's very Now, this is
a professional solution. Take a look at the output.
This is very, very powerful. Now, this is a next level
profit and loss statement. We got the company
details prepared on accrual basis of
accounting, not cash based. This is one method
of accounting. We got the company name,
the business type, accounting method, period of coverage, excellent,
the revenue. We got the expenses, total revenue and
expenses, and net profit. And probably this is what your typical profit
and loss statement looks like within
your organization. Take a look at the
notes over here. This profit and loss includes non cash adjustments
such as depreciation. All figures are rounded
in the reassured dollars. This document is for
internal reporting and decision making purposes. How powerful this is. So
if you are a professional, accountant a CPA, someone working in the
accounting department. You get a team of accountants
or you're doing this for your business for
tax filing purposes, for example, you'll notice how powerful and
professional this is. Now we are ready to transition to the next statement as part of our financial statements,
coverage, right? We started off with
the profit and loss. Now we're going to
be transitioning to another powerful
financial statement which is related to the health of the
business as a whole.
8. Balance Sheet: Back. Now we are
ready to proceed with the creation of
the balance sheet. We have created the profit
and loss statement, and as a professional
accountant, definitely understand how
important balance sheets are for the health
of the business, for the audits, for
the management review, and the list goes on. So now we're going to
create the balance sheet. Make sure that the format is professional and ready to be converted to a
PDF here we go. So this will ensure that
instead of going through the whole communication back
and forth again with HGPT, we are able to get the output directly in the most
convenient way possible. Because in the previous case, we've gotten multiple
trials to get the professionally looking
ready to print PDF, right? So we had to go back and forth. But now, since JAGPT has
learned from our commands, we're going to have HAGPT proceed with creating the
balance sheet and then converting it to a PDF to
incorporate the best practices. Let's take a look at the
balance sheet over here in the first output. We got the description,
assets, liabilities, and equity, which are core
components of a balance sheet. That's very powerful. So it's showing me
the elements, right? You can use this for
your own purpose. You can download it over
here and then take it to an L file and try to fix it
by yourself. It's up to you. You have that flexibility. But let's have this quite sorted out using
artificial intelligence. Here's the balance sheet for March 25 for textfx solutions. Professionally formatted and
categorized under assets, liabilities, owner's
equity. Okay? So I'm going to
say, create the PDF in the best way
possible and make sure that the debits and credits alignment is
clearly reflected. Because once you're creating
the balance sheets, we need to make
sure that actually the whole accounting
foundational equation is intact. Assets equals liability
plus stockholders equity. So we're going to take a look at just roughly the
assets over here. We've got the
liabilities over here. If you notice CHAD
GPT over here, included them separately,
total assets. And then you got total
liabilities and equity. And obviously, they should
be the same, right? But I need this to be
highlighted in case you do have a management review or for
your own further review. That way you have everything
quite sorted out. Here we go. So I'm going to download the balance
sheet over here. Let's open the file,
take a look at this. Tech fix, solutions,
balance sheet, assets, liabilities
and owner's equity. So we got ourselves the assets and the breakdown of the assets, current assets, cash account
receivables, inventory, total current assets, non
current assets equipment, accumulated depreciation, total non current assets,
and total assets. Do you understand how
powerful this is. If you have done
balance sheets before, like I did, cash
flow statements, profit loss statements,
like I did as well. You'll understand
that simply that the whole hassle of
aligning assets, then depreciation,
then inventory, then current and non current
assets takes a lot of time, and we're able to do this
with a couple of clicks. Then we got ourself
liabilities and equity, the current liabilities, accounts payable,
salaries payable, the total current liabilities, owner's equity, and total
liabilities and equity. Take a look at the
numbers, they align. And once you have
this alignment, between the assets
and the liabilities, it means you have actually
balanced the actual sheet. There are no
discrepancies, right? So we're going to take in
one level further as well. I'm going to have CHAD GPT, create a professional
looking one. So create the PDF
and make sure that all needed accounting details
are present in the PDF. We're going to follow
the same prompt again, like we have done with
the profit and loss. Why? Because we're humans.
We forget stuff, right? We forget stuff.
So we're going to incorporate this as part
of the command. Such that. AI is going to go through the accounting practices from various references and inject these details into
the PDF format. And we're going
to take a look at the finalized output
because like I mentioned, sky's the limit in terms of the applications and the
modifications that you could do, and I'm showing you the
way to go about this. Here's your fully detailed and professionally style
balance sheet. There we go. Now we're
downloading this. Let's open the file. Excellent. This is way
more professional. Text fixed solutions, balance sheet prepared on
accrual basis of accounting. This is the company
name, business type, accounting method, and the
period and the statement type. So we got the assets over
here with their breakdown, the liabilities and
owner's equity over here. That's very powerful. So
we got the total assets. Then we got the
total liabilities. Take a look at the
details over here. We get some notes.
Inventory is recorded, purchase cost, equipment is depreciated using
straight line method. This is advanced accounting.
This is very powerful. Current accumulated
depreciation, accounts receivable includes
outstanding balances, liabilities include unpaid
bills and accrued salaries, equity is computed as igual interest in the assets,
aducting liabilities. All figures are presented
to you as dollar. These are powerful notes that you as a
professional accountant, sometimes you forget
to add. Early, right? So it's important to incorporate these things as part of
your final statement. And this is from my
own point of view, this is a professional statement which is ready to be discussed, to be presented to
your management, to be taking into your
documentation for the quarter, for the month, for the end
closing, and it's up to you. Now we are ready to proceed with another powerful statement, which is the cash
flow statement.
9. Cash Flow: And welcome back. Now we are ready to proceed
with the generation of the cash flow statement
for our application. Let's get to that part. Create the cash flow
statement. Here we go. Now, CHAD GPT is going to utilize all of the
data that we have done before in order to compile
the cash flow statement. So we've created the
profit and loss, the balance sheet, and
the cash flow as well. These are considered to be core financial statements that are utilized by accountants, financial financial
professionals, chief finance officers, the finance department,
the accounting department, for your own business, for your own accounting practice,
and the list goes on. Now, let's expand the table. Take a look at the
description for the cash flow statement.
That's perfectly fine. You're able to spot
net change in case, cache at the beginning
of the period, cache at the end of the period. You're able to
download this as is, and then you could modify it
and tweak it as you prefer. Let's say you do have your
own adjustments, that's okay. You can just simply download
the table over here, take it to an Excel file and modify the table as you'd like. Now, let's proceed with the generation of the
actual cash flow statement. Here's the cash flow
statement for the period using indirect method includes
operating activities, investing activities,
financing activities, net cash movement. Excellent. Now
proceed with the PDF. I'm going to say and
make sure to include all relevant accounting
details in the PDF. Just to save us some time
in the whole process. That way, when you're creating these documents to avoid
having any details missing, you can just simply add
this prompt, and that way, Chat GPT will just
simply incorporate as much details related to
accounting as possible. That way you're able
to get the document ready from the first attempt. Let's download the document and take a look at the
cash flow statement. Excellent. So we got
tech fixed solutions, cash flow statement
for the month end. We got the company
name and details, the preparation method,
the indict method. We got the cash flow
statement for the period, then we got the operating
activities, net profit, adjustments for non cash
items, depreciation, changes in the working capital, you're able to see the
debits and the credits, net cash from the
operating activities, investing activities,
equipment purchase, net cash from
investing activities. Then we got financing
activities, no financing activities. We got the category,
but we don't have any activities in it. These
are very powerful, right? You're able to create
professional cash flow statements in
a systematic way. Take a look at the details. Net change in cash. We got negative $900. Cash at the beginning
of the period, zero, cash at the end of the
period minus $900. Let's take a look at the notes. The statement starts
from the net profit and adjusts for non cash and
working capital changes. Equipment purchases reported
under investing activities, no finance activities occur
during the period. Excellent. All values are rounded to
the nearest US dollars, and the cash balance agrees with the general ledger
cash This is very, very powerful because we have created the ledger
cash account, right? From the previous lessons, we were able to create the previous expenses
ledger account, account receivables,
the ledger account, and everything now matches because once we have generated
the cash flow statement, it's comparing the details to the previous entries
that we have made to the previous ledgers
that we have created. That way you are
creating a full on comprehensive trajectory for
your accounting practice. So when you fix
something one part, it automatically fixes
it at other parts. The balance sheets. It will be reflected in the profit loss. It will be reflected
on a cash flow. It will be reflected on the
ledgers, on the entries, instead of trying to
do this by yourself, which if you have done
this by yourself, you understand the amount of time that you need to invest
in order to get this done. Not to mention if you
do have any errors, good luck figuring
out which part of the process is broken, right? Did you miss a debit
here, a credit there? It's difficult to go
through the entire process, and I'm showing you and I'm teaching you the
best way to go about this using artificial so
at this current stage, we were able to generate
our cash flow statements, profit alloys, balance sheets. Now we're ready to
transition to the segment of modifications
and adjustments. Let's say you would
like to fix something or iterate the process or add any new updates or
just simply fix something that you discovered during the
documentation process. How would you go about this? This is coming up next.
10. Modifications and Adjustments: And welcome back. So
at this current stage, we have created all of the necessary financial
statements, right? Let's say, during the process,
we figure something out. We have a new transaction or we have an error that
we need to modify. The applications are endless. I'm going to show you how
to go about the process. So at this current stage,
we're going to modify all of these financial
details in case you spot an error or you need
to add a transaction. We have missed an entry, and we need to modify
the transactions, instead of results,
transactions. Here we go. So let's
click on Send. So we have missed an entry, and we need to modify
the transactions. So now we're going to have Chat GPT, revise
everything accordingly. We're going to go through
the missing transaction. And by the way, if you
can just simply mention, instead of having we have
missed a transaction, we have an error in the entry and the following
practice applies. We're going to have the
details of the transaction. Once you send that, I'll update the journal entries reflected
in the general ledger, revise your trial balance, recalculate everything
from scratch. Now, if you've been in
that position before, where you ran into
such an error, where you missed an entry or you put in the wrong details, you understand how hectic it is to fix everything
from A to Z again. Instead of wasting months, I'm going to show you how to do this in a couple of minutes. So we sold. You can just simply
add, by the way, the transaction, the receipt, the details from an
Excel file screenshot or type it as is, it will work. We sold a new company
called Sand Hype, for example, a new
service for $10,000. Okay? So we sold a new
company called Sand Hype, a new service for $10,000. Mention the date over here
because it should be within the period of the
accounting period on 4 March 2025 because if
it's beyond the period, it will not be highlighted. Here we go. Or if you don't give it a date, it will not be able to allocate a certain
place on the ledger, the transactions,
and the statements. Okay? Now, HAGPT is analyzing
the new transaction, and this applies to
errors, by the way, right? So I'm going to expand this, we need to Let's
find a big figure. Account receivables Sand
hype, $10,000 over here. We're able to add
the new transaction. This is very, very
powerful, right? With a couple of
clicks, I was able to add a new transaction. Now I'm going to modify this across the entire spectrum of the events that we have done. So this is basically now reflected in the
journal entries, the general ledger will affect the trial
balance and everything. Here we go. So now proceed with the next step in fixing
the details. Here we go. Simply add this command, proceed with the next step in
fixing the details. Now, CHAD GPT is going to go through the same
sequence that we have done before in order to reflect
the changes. Here we go. So here's the updated
trial balance, including the new
amount. Here we go. Then under accounts receivable
and service revenue, good. Next, I'll proceed with
profit and loss statements, the balance sheet, the cash
flow statement. Excellent. So we're able to update
the general ledger. That's one. Then
we're able to update the trial balance to include the amount
which is over here. Right? Then if we go downwards, we're able to confirm
the debits and credits are aligned based on the
new modification. Perfect. Now, let's say, just simply
type in the word proceed. This is the power of solid
prompt engineering practices. You're able to craft prompts in a way such that you're getting the best out of
artificial intelligence in the most effective
way possible. And I'm showing you the
way how to go about this. So simply now, once I've
mentioned the prompt, proceed with the next step
and fixing the details, automatically
understood, I need to update everything that I've done before in the
right sequence. So now I'm going to proceed at this current stage with the
profit and loss statements, the balance sheet, and
the cash flow statement. So we got the updated
profit and loss statement. Here we go. Take a
look at the output. Updated profit and
loss statement, PDF. Next, I will proceed
with the balance sheet, and then the cash flow
statement. Here we go. Let's click on Download
to get the file. Here we go. Excellent. So we've incorporated certain updates over
here in the statement. And if you notice, take
a look at the notes. Profit osment reflects an
updated service transaction with Sand Hype worth $10,000. Excellent. This is part
of the modification. If you're going for a
certain filing process, if you missed something
in the process, as part of your
department reviews, as part of your
accounting practices, as part of your
finances reviews, for your own business,
for your own department, for your own company,
whatever it is. Once you fix something,
you're going to be adding a note in terms
of the update, right? And this is where HAGPT is actually helping
you along the way. That way, you're not missing
some important details. So now I'm going to have the updated a profit
a loss statement. We're going to have HAGPT
at this current stage, create the balance
sheet in order. Now, it has loaded
since sometimes as you go through heavy
lifting with HAGPT, it might disconnect
and then reconnect. So we have the updated
profit and loss statement. Take a look at the
balance sheet PDF. Here we go. Let's take a
look at the balance sheet. This is the finalized
balance sheet. This is very powerful as well. We're able to
update the details, and you can see that
everything is quite aligned, the debits and the credits. Excellent. Great
work. Let's take a look at the cash
flow over here. Then I'm going to
observe the cash flow as well as part of the
modifications that we have, and then I'm going
to see the effect on the cash flow statement. This updated statement reflects $10,000 increase in the
accounts receivable, which is very, very powerful and you're able to spot
this over here. Increase in accounts receivable. This is very powerful. And within a couple of clicks, I was able to add a new
transaction, right? And this applies to
your case definitely. And when I added
the transaction, I was able to update
my journal entries. Then I was able to proceed with the trial
balance updates. Then within a couple clicks, fix the entire
financial statements, profit and loss, balance sheet
and cash flow statements. And then you have the ability to bundle everything as a PDF together into one file or export everything
as a zip archive, or add a cover page or a
summary for the details, right? So we've gotten all of
the details that we need now and the ability and
the tools and the know how and the expertise
that I'm sharing with you to help you go about your accounting practice in
the best way possible using artificial intelligence
and the ability to modify and tweak
your transactions, fix any errors, and
reflect it across the entire sequence of
events in a couple seconds, minutes tops compared
to months of work. And we're not done
yet. I'm going to show you at this
current stage, how to transition to actually
analyzing the details. So we've created the statements, we've added the transactions. We've created the ledgers, the profit and loss statement
balance sheet, cash flow. Now I'm going to help you if you are a finance
professional or someone in the accounting department or as
a business owner, how would you analyze
all of these details, which is coming up next?
11. Data Analysis & Insights: Welcome back to one of the most powerful segments
of the current course, which is really astonishing. And it saves a lot of time,
saves a lot of effort. And me personally, I
enjoyed this lesson. I've enjoyed creating this
lesson for you because I've applied these tactics
to my own applications, to my own businesses. And it's really mind blowing
how simple it could be, how much time and how much productivity that you
could get out of the way. Within the whole
accounting practice within your financial analysis, within the data analysis, taking a look at the
statements that you're having, whether for tax filing purposes, for decision making purposes, for quarterly meeting purposes, for month end purposes,
wherever it is. So at this current
stage, we have compiled everything that we need to go about the accounting
process, right? But let's use this
in a smart way for business analysis
and data analysis to understand the financial
health of the business. So I'm going to
mention at the stage, we have compiled all
the relevant data for the reporting period. I want you to conduct a data driven analysis based on the created
details such as PNL, balance sheets, cash flow,
ledgers, journal entries, to dive into insights concerning the health
of the business. Now, this is a very
powerful prompt. Feel free to tweak it, but once you compile
it in such a fashion, you'll be getting some really, really, really
astounding results. Here you go. Let's
take a look at this. Great now we have compiled
all the financial data for the tech fixed
solutions March 2025. Let's perform a data
driven financial analysis across the key reports, profit loss, balance sheet,
cash flow, and ledgers. Profitability
analysis, PNL insight. This is very powerful profit adjusted after the incorporation
of the transaction, revenue composition,
expenses break down. So we're able to extract the data from the
profit and loss, and now we are taking a look
at the insights. Here we go. Profit margin,
82.2% exceptionally high due to low cost structure. Good. Expenses are
primarily operational, no cost of goods sold,
tracked for services. Strong revenue
spike from Sandipe. This transaction dramatically
improved profitability. If you added $10,000
as a modification, which is the highest
transaction in the entire sequence of transactions or the
journal entries, right? So we were able to conduct
some data driven analysis based on the profitability from the profit and
loss statement. Good. Now let's take a look at the liquidity and solvency based on the balance
sheet insights. So if you are someone working in the finance department and the accounting
department as well, these are worth gold for you because you're able
to understand a lot more about your business, how it's financial health, what areas you
need to attend to. Assets. So we got current
assets, cash negative 900. So we got negative cash
just operational strain or high early expenses, then
account receivables, heavy reliance on credit
sales, inventory, $600, non current assets, equipment, net of depreciation, $1,650. Then liabilities,
accounts payable, and then you got owners'
equity, salaries payable. It's going through
the statement of the balance sheet
and analyzing it. Take a look at the ratios.
These are very powerful. The current ratio,
which is 6.09, excellent short term liquidity, debt to equity ratio. We got 0.16, very low
leverage, financially healthy. Take a look at the insights. 92% of the total current assets dependency on
credit collection, negative cash position,
needs attention, may require tighter AR collections
or external financing. Strong equity position with low liabilities indicates
financial stability. So it's taking every
single statement, analyzing it, sharing some
areas of strength, weaknesses. Insights, which will
help you within the decision making process for you as an account
manager, a CPA, a finance manager, a
chief finance officer, the head of the
accounting department, for your own business as well. For whatever accounting based application slash Finance
based application, you can use these
tactics to help you draw some
important insights. Now, let's take a look at the cash flow
analysis. Here we go. Net changing cash, negative
900, ending balance, operating cash, no financing, flow inflow, investing
cash flow, excellent. These are from the
cash flow statement. Now let's take a look
at the key insight. Net profit is not
translating to cash. Very, very in depth insight. You're profitable, but you're not having cash
because your accounts receivable are really
high and you're not able to collect them
yet. Makes perfect sense. The main culprit is a $13,700 account
receivables increase suggesting heavy
credit based sales, cash management is weak
relative to profitability, which is very powerful. Now, let's take it
one level further. Operational efficiency, based on the ledger
and working capital. All transactions
are timely posted, working capital tied up in AR account receivables
and inventory, no recurring income streams
or installment billing. Income is dependent on
large one time deals. I is part of the
operational efficiency. Let's take a look
at the summary. Summary of strength
and weaknesses, very high profit
margins, excellent, low liabilities, and
strong owners equity, healthy current ratio
and minimal debt, successful client
acquisition, based on the latest transaction
detail caused a spike. Some of the weaknesses,
cash position is negative, despite
profitability. Heavy account receivables,
concentration, over reliance on credit
clients, no financing activity. A capital seems to come from
operations or the owner. Now, recommendations. This is another level
of professional output. So we're conducting
data analysis. We're taking a look at the
insights, finding strengths, finding weaknesses, and corrective actions
and recommendations. So as part of the
recommendations based on the financial
statement details, strengthen account
receivable collections, consider offering early
payment discounts or enforcing stricter terms. Monitor cash flow monthly. Don't assume profitability. Cash is stability. Excellent. Diversify clients, avoid reliance on one
of large invoices, track COGS and gross margin, add cost categories for service delivery to gain
better margin insights. That's very powerful. So you're able to
understand if you're adding the cost of goods sold, in this case, COGS, cost of goods sold or cost of service in
this current case, to understand your
margins better. How much is it costing
you to get a service? Consider a credit policy. Segment clients by payment
reliability and clear terms. Do you understand
how powerful this. Like, this is very strong. You're able to analyze your entire statements within a couple minutes to understand the key areas that
need attention. So if you're an accountant, as an accounting professional, as a finance professional, as a business owner,
as an executive, you need to understand
that once you're getting the details,
that's half of the battle. We need to make sense
of the details. I'm showing you how you're
able to actually see the pattern in the
finances, the transactions, the details within
the statements, profit and loss, cash flow, balance sheets to give you insights on the health of
your business as a whole. And guess what?
We're not done yet. I'm going to show
you a next level application that
you could use this to help you gain better insights in terms of
your accounting practice, your finance practice, and
the business as a whole.
12. Professional Reporting: And welcome back. So
now we have gotten some important insights about
the financial statements, the health of the
business, based on the accounting principles
and practices. And I'm going to
show you now how to actually reflect those details, this data in the
best way possible, whether for your own
documentation as an accounting professional or a finance manager or
a business owner or someone conducting senior
level executive meetings to demonstrate the health
of the business as part of the quarterly
reporting mechanism within corporates
applies to all of these. Now what I'm going to
do is I'm going to say, create a PDF report that covers all the necessary
details and don't forget to add any relevant
information and make sure that the report is professional and clear.
That's the first step. We're going to get a report, including the
analysis that we have conducted to help us
understand the health, the insights, the behind the scenes details of the
operation of the business, the hypothetical case
that we have created, that we have developed from
scratch together, right? So the first stage is, I'm
going to have a HAGPT right now generate a report for me to compile all
of these insights, whether for a meeting, for a presentation,
for a discussion, for documentation, for audits, for example, for tax compliance, again, the applications
are endless. And we're not going to just
simply end it with a report. I'm going to actually
show you how to create even more astonishing, amazing visuals that you could use as part of
your presentations. Let's take a look at
the report over here. So we're going to download the report, financial analysis. Take a look at this. This
is very, very powerful. So we're able to get a report which includes the
executive summary, profitability analysis,
liquidity and solvency, cash flow summary,
operational efficiency. Then strengths and weaknesses
and recommendations. Now, feel free to
pause the lesson, go through it, read it, to help you understand basically the in depth details
and the level of complexity that
you're able to generate in the
best way possible. This is very
powerful because you can use this and add it to your own documentation to your own presentation when
you're having board meetings. Often this takes
weeks if not months to prepare as part of
the accounting practice, as part of the
financial analysis. I'm teaching you how to do it in a couple minutes and in the best way possible.
We're not done yet. I'm going to show you
right now how to have a visual representation
for the details, whether you're
creating a report, whether you're
creating an actual PowerPoint presentation, or you'd like to add it to
the PDF for visual reference for the executives or for your own department
meetings, it's up to you.
13. Data Visualization and Presentation: And welcome back. So
we have generated some financial analysis,
some accounting analysis. We've gotten a report based on the previous insights,
recommendations. So we do have a full on package of profit
and loss statements, cash flow statements,
balance sheets, ledgers, journal
entries, trial balances, report summaries and analysis
and data driven insights. Now let's take it
one level further. Let's say I would like to
present the details to board members for my
accounting department, for my finance managers,
whatever it is. Or for you as a business
owner, for example, you'd like to get some
visual insights on the data driven analysis
that we have conducted. This lesson will help you
get inspired to do so. So I'm going to have Chat GPT. I want to create a
series of visuals that will reflect important details of the business as part
of a presentation. Okay? What kind of visuals
are recommended here we go. So at this current stage, I'm actually given HAGPT
the context, okay? That's one, which
is the creation of a series of visuals that's
part of prompt engineering. And then the purpose, which is reflecting
the important details of the business as part
of a presentation. So we need some
visuals. And what kind of visuals are recommended? Let's say you don't
have anything specific in mind, right? You would like to get inspired, you'd like to dive into details, and possibly you might have
not thought of something, and then once you go
through this process, you might get inspired to
create it, for example, right? So to create a powerful
data driven presentation for tech fix solution, which is the
hypothetical company that we're dealing with, your visual should highlight the core financial insights and tell a story about the
business performance. Here's a list of
high impact visuals. You should include organized
by category and purpose. Excellent. So we're
going to kick things off with the profitability
and revenue. So a visual recommendation would be revenue breakdown Pie chart. Excellent. So this will
show us the total revenue, any highlights, a
visual net profit bar. These, both of them, they fulfill the
requirements of having visual display for
profitability and revenue. Then let's take a look
at the cash flow health, visual cash flow
waterfall chart, visual operating
versus investing cash, then balance sheet snapshot, visual asset composition,
doughnut chart, visual liabilities versus
equity stacked bar. Key ratios and metrics, visual KPI dashboard,
cards or icons. Excellent. We've gotten
the details on the ratios. That's very powerful
trends or concerns, the visual basically
for the account receivables aging
timeline, if available, Visual risk radar or hemp, then recommended
slides, basically, and the tools that
we could use to help us in the
preparation process. For example, we could
use Canva, PowerPoint, Google Slides, the chart types that we can use as part of
the Google Sheets, as well. So it's giving you the full on recommendations. That's one. In addition to creating the tools that you
need to create and the titles of the visuals, but I'm not going to be
using external tools. Everything I'm going to be
showing you right now will be done over here using Chat GPT. Let's take a look at the
response from Chat GPT. Would you like me
to generate mockups or chart images for
any of these slides? I can create them based
on your financials for dia us in the presentation.
That's very powerful. We are going to proceed
with the creation of the visuals in the order
mentioned previously. So basically, I'm
telling Chad GPT, all of the details
that you have listed, profitability, which is covered by revenue breakdown pie
chart, net profit bar. So I'm going to go
on that sequence to include as much visual
details as possible. We're going to proceed
the creation of the visuals in the order mentioned previously.
Here we go. Click Enter. Now we're
going to be taking a look at the response
from Chat GPT. So it's analyzing my prompt and referring back
to the list of outputs generated
over here in order to understand which visual
should it create first? Here we go. So the revenue
breakdown pie chart is ready. That's the first one. Let's click on this to understand if it got the
result as preferred, and here you go. Now, I'm going to be displaying the revenue pie chart that
way you're able to see it. Then we've gotten the
net profit bar chart. Excellent. So Chad
GPT is producing the outputs one at a time. I'm going to show you how
it looks like. Here we go. This is basically the revenue
breakdown by a client. This is the pie
chart from Chat GPT. If you notice we got the name
of the clients over here. We got the percentages
from the revenue, and then you could
add these details as part of your
own presentation. We do have the net profit bar over here. Let's
take a look at this. So I'm going to download
the net profit bar, and I'm going to open
the net profit bar, and let's see how it looks like. Take a look at this
powerful visual. We got the revenue over here. We got the expenses. We got the net profit. We got the margins, and we got some
important details on every single one
of these bar charts. And then you're able
to just simply save these and transfer them directly to your own presentation
or for your own report. And now we're going to
be taking a look at the cash flow waterfall
chart, as well. Here we go. Download the file. Take a look at the
cash flow waterfall, which is a very, very
powerful visual display. You can see the net profit, depreciation, increase
in account receivables, and all of the reflection
in terms of color codes, as well as the
numerical figures. Let's take a look
at another visual. Now we do have the asset
composition, donut chart. Let's take a look at
this. Here we go. So I'm going to
download the file. Take a look at the donut chart reflecting the N
equipment inventory, accounts receivable as part
of the assets composition. So you're able to get very, very powerful visuals
along the way. Now let's take a look at the liabilities versus
equity stacked bar chart. If you notice this is the
liabilities versus equity, so you're able to
see the proportions between the color code,
the capital structure. We got the margins over here. You're able to see that
the owner's equity makes the majority of the business compared to the
liabilities that we have. So these are very
powerful visuals. If you're going to
create them by yourself or through Exel file
or whatever tool, it will take you months
of work, literally. So we're able to save time in the process. And
we're not done yet. I'm going to show you even a
more powerful application. So now we're able
to see a lot of important details from
the output from CHAT GPT, related to profitability
revenue, right, cash flow, balance
sheets, snapshots. Then we could have other visuals
as well to be generated. Feel free to
experiment with this. Now I'm going to show you a very powerful representation as well, which will help you even enhance the visual output
of these results. So I'm going to
proceed right now, create a KPI dashboard
visual showing the important financial ratios and performance indicators. So we're able to get
some visuals for our report, for
our presentation. How about we create a
dashboard with some figures, some representations to take things to a different
professional level, as well. So that way, you have
the full on sequence of actions and
steps from getting your transactional
entries as part of the ledger or the
journal entries all the way to coming up
with solid presentations and reports and visuals
for your own meetings, discussions, and the list of applications is quite endless. Now, let's take a
look at the visual. And here we go. This
is a KPI dashboard. You're able to see the
current ratio for example, the figure and the
color code green includes indicates it's healthy, right? Debt to equity. We've got a color code,
0.16 low leverage. Then we've got profit margin, 82.2%, which is high, excellent, cash flow from ups, negative needs improvement, accounts receivable percentage
of the current assets, over 90%, high dependency, net profit, $12,000 strong. So you're able to have a
full macro KPI dashboard. That you could add as
the icing on the cake. That way, you're
able to showcase the financial statements, represent them, analyze them, add some details to the process, then create your visuals, then go ahead and
build up the reports, the data analysis, the insights, the strengths, the weaknesses, and to add some visual
representations and dashboards to
help you have a full on package that covers your accounting and finance
activities from A to Z.
14. Wrapping Up: So what do you think? I truly hope that you found
the class helpful. If it helped you save
time, save effort, getting your bookkeeping, your accounting activities in check, it's a job well done, and I look forward to receiving your feedback on the
current class and make sure that you follow
my profile for the latest releases and updates, and I'll see you
in the next class.
Engr. Hussein Attié, Entrepreneur I Engineer I Educator
