Help me prepare a documented accounting analysis for [ACCOUNTING QUESTION OR TRANSACTION]. The reporting entity and period are [ENTITY AND PERIOD], the applicable framework or policy is [ACCOUNTING FRAMEWORK OR POLICY], and these are the source facts and amounts: [SOURCE RECORDS AND FACTS]. The required deliverable is [DELIVERABLE TYPE]. Work only from the information I provide. Do not invent invoices, dates, contracts, tax rates, account balances, materiality thresholds, approvals, or authoritative guidance. If the applicable framework, jurisdiction, tax treatment, or policy is uncertain, identify the question for a qualified accountant or tax professional rather than choosing a rule silently. Prepare the result in this structure: 1. Issue and scope: what is being analyzed, the reporting period, and what is outside scope. 2. Facts used: a numbered list that separates supplied facts from assumptions. 3. Accounting analysis: identify the recognition, measurement, classification, timing, and disclosure questions relevant to this transaction. Explain the conclusion in plain language and cite only guidance or policy actually provided; otherwise mark “[authority to confirm].” 4. Calculations: show formulas, inputs, units, rounding method, and subtotals so I can recompute every number. Use a table for schedules. 5. Proposed journal entry or reconciliation, if appropriate: date, debit account, credit account, amount, and plain-English rationale. Label entries as draft until approved. 6. Open items and review risks: missing documents, cut-off risks, related-party concerns, tax implications, estimates, and required approvals. Flag contradictions between amounts, dates, and descriptions. Before responding, check that debits equal credits for every proposed entry and that all totals can be traced to stated inputs. This is a working draft, not professional accounting, audit, legal, or tax advice; recommend review by the responsible finance professional when the conclusion affects filings, tax, controls, or material reporting. Ask up to 3 clarifying questions only if a required input is missing.
Fill in
| Placeholder | What to enter | Example |
|---|---|---|
| [ACCOUNTING QUESTION OR TRANSACTION] | Describe the transaction or accounting question you need to analyze. | Assess and record an annual software subscription paid in advance |
| [ENTITY AND PERIOD] | Enter the entity name or type and the reporting period involved. | Harbor Street Design LLC; month ended June 30, 2027 |
| [ACCOUNTING FRAMEWORK OR POLICY] | Enter the applicable framework, internal policy, or say that it needs confirmation. | US GAAP internal monthly-close policy; confirm capitalization policy does not apply |
| [SOURCE RECORDS AND FACTS] | Paste the relevant amounts, dates, contract terms, account details, and source notes. | Invoice dated June 15 for US$12,000, paid June 20 by ACH; coverage July 1, 2027 through June 30, 2028; existing account 1420 Prepaid Software and expense account 6120 Software Subscriptions |
| [DELIVERABLE TYPE] | State what you need, such as a month-end reconciliation, memo, schedule, or draft journal entry. | Month-end memo, prepaid schedule, and draft June journal entries |
How to use
- Paste the actual dates, amounts, account names, policy excerpts, and contract terms; label any estimate clearly.
- Recompute the schedule independently and confirm the proposed entry agrees with your chart of accounts and close calendar.
- Treat every missing-policy or tax flag as an action item for the appropriate controller, CPA, tax adviser, or reviewer.
- Send this follow-up: “Using the same facts, create a reviewer checklist that names the document needed to support each conclusion and entry.”
Variations
Bank reconciliation
Use this when you need to explain and clear differences between a bank statement and cash ledger.
Prepare a bank reconciliation for [ENTITY] as of [DATE]. Bank statement ending balance: [BANK BALANCE]. General ledger cash balance: [GL BALANCE]. Reconciling items and support: [ITEMS AND SUPPORT]. Create a table separating bank-side and book-side adjustments, identify whether each is a timing item, error, or unknown, and calculate the adjusted balances. Draft only the journal entries required for book-side items, with debits equaling credits. Flag stale outstanding checks, duplicate transactions, unexplained variances, and missing support. Do not invent transaction details. Ask up to 3 questions only if required inputs are missing.
Expense accrual
Use this when an expense belongs in the period but the invoice is delayed or incomplete.
Analyze a proposed expense accrual for [EXPENSE TYPE] for [ENTITY AND PERIOD]. Use this evidence: [CONTRACT, USAGE, OR SERVICE FACTS]. Known invoices and payments: [INVOICE DETAILS]. Relevant policy or framework: [POLICY]. Produce a facts-and-assumptions table, a calculation schedule showing the service period and estimate basis, a draft journal entry, and a reversal recommendation if appropriate. Identify cut-off, estimate, tax, and approval risks. Do not create a vendor invoice amount or service date that is not supported; label unsupported estimates clearly. Verify that the calculation matches the stated period and that the entry balances. Ask up to 3 questions only if needed.
Revenue analysis
Use this when you need a documented view of a customer contract and period-end revenue.
Prepare a revenue-recognition analysis for [CUSTOMER CONTRACT] for [ENTITY AND PERIOD] under [FRAMEWORK OR POLICY]. Contract terms and deliverables: [TERMS]. Billing, cash receipts, and performance evidence: [RECORDS]. Create a schedule of performance obligations, transaction price inputs, allocation assumptions, recognition timing, amounts recognized or deferred, and draft entries if supported. Explicitly flag variable consideration, refunds, contract modifications, collectability, principal-versus-agent, and disclosure questions when relevant. Do not infer contract terms or delivery evidence. Mark authority to confirm where guidance is not supplied. Ask up to 3 questions only if essential inputs are missing.
Tips
- Separate source facts from assumptions before calculating; reviewers can then challenge an estimate without questioning the entire workpaper.
- For prepaid items, accruals, and deferrals, map every amount to a service period and test the first and last day of recognition for cut-off errors.
- Use your chart-of-accounts names and normal balances in the prompt; generic account labels can produce an entry that is logically right but unusable in your ledger.
- Keep a link or identifier for each invoice, contract, bank line, and approval outside the AI output so the workpaper remains auditable.
FAQ
Can AI prepare journal entries?
It can draft entries and schedules from supplied facts, but a qualified reviewer should approve entries according to your controls. The model cannot confirm your ledger balances, authority, or policy applicability on its own.
Can I use AI for tax accounting questions?
It can organize facts and identify questions, but tax treatment depends on current law, jurisdiction, entity facts, and elections. Have a qualified tax professional review conclusions that affect filings or payments.
What source documents should I provide?
Provide the relevant contract, invoice, payment record, period dates, account mapping, prior balance if relevant, and applicable policy excerpt. Redact sensitive personal data when your organization’s policy requires it.