Hello everyone and welcome back to our channel. My name is Palmer Mason and I’m focusing on how ChatGPT can be used within the business world, more specifically within the accounting and finance portions. In this video, we’re going to go over how income statements and balance sheets can be produced by ChatGPT.
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So, the income statement, also known as a profit and loss statement, shows the fiscal performance of a company over a period of time, typically at the end of the fiscal year. It includes revenue, expenses, gross profit, operating income, and net income.
A balance sheet, on the other hand, provides a snapshot of the company’s financial position at a specific point in time, which is also typically at the end of the fiscal year. The equation for the balance sheet is assets equals liabilities plus equity. Assets are the resources owned by the company, liabilities are debts and obligations owed by the company, and equity is common stock and retained earnings.
To get ChatGPT to produce an income statement and balance sheet, it is quite simple. All we need to do is copy and paste the data along with a brief description into ChatGPT, and it will do the work for us. So, let’s head over to Excel to see what we have.
As we can see, we have some information pertaining to the XYZ company as of 12/28/2022. Below the data, we have a short description of what we would like ChatGPT to do. In this instance, we do not have any tax to keep it simple, so all we need to do is copy this information, go to ChatGPT, paste it, and let it do the work for us.
Now, it did not do it in a good format for us to copy and paste back into Excel, but it does look like it did it right and did it well. So, to make it easier to copy back into Excel, all we need to do is say ‘do’ and ‘Excel format’. Now, ChatGPT does not have access to Excel, so it can’t do it in the exact Excel format, but it will give us something similar to copy over.
There we go, now we’re able to copy and paste this directly into our Excel spreadsheet. First, let’s copy the income statement, and then let’s copy the balance sheet. And there we go, we have an income statement and a balance sheet. Now, in Excel, once we have it here, we can format however we would like.
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