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<aside> 🧠 Use Case Use these prompts to perform a comprehensive analysis and keep your finger on the pulse of your business finance. You can discover patterns in your data, understand the structure of your income and expenses, calculate critical financial ratios, track sales trends over time, and examine costs, volume, and profit relationships.

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• Input required = business/industry, financial perameters
• Single-step prompts

🔨 Prompt - Horizontal Analysis

I run a business in [business/industry]. Can you perform a horizontal analysis on my financial data? This analysis compares data over time to identify patterns and trends. Here is my financial data for the past few years:

• Year 1 Data:
  • Revenues: [Breakdown of revenues by main revenue streams if applicable]
  • Cost of Goods Sold: [Cost associated with production]
  • Operating Expenses: [Expenses related to administration and sales]
  • Net Income: [Profit after all expenses deducted from revenue]
• Year 2 Data:
  • Revenues: [Breakdown of revenues by main revenue streams if applicable]
  • Cost of Goods Sold: [Cost associated with production]
  • Operating Expenses: [Expenses related to administration and sales]
  • Net Income: [Profit after all expenses deducted from revenue]
• Year 3 Data:
  • Revenues: [Breakdown of revenues by main revenue streams if applicable]
  • Cost of Goods Sold: [Cost associated with production]
  • Operating Expenses: [Expenses related to administration and sales]
  • Net Income: [Profit after all expenses deducted from revenue]

Can you identify any significant patterns or trends?

🔨 Prompt - Vertical Analysis

I run a business in [business/industry]. Could you assist me with a vertical analysis of my income statement? This analysis shows each line item as a percentage of a base item, providing insights on cost structure and profitability. Here is my income statement data:

• Sales: [Sales]
• Cost of Goods Sold: [Cost of Goods Sold]
• Operating Expenses: [Operating Expenses]
• Other Expenses: [Other Expenses]

Can you express each line item as a percentage of the total sales and help me understand how each contributes to my overall revenue?

🔨 Prompt - Ratio Analysis

I run a business in [business/industry]. Could you help me conduct a ratio analysis on my company's financial health? This analysis uses financial ratios to evaluate the overall financial condition of a business. Here is my financial data:

• Current Assets: [Current Assets]
• Current Liabilities: [Current Liabilities]
• Total Assets: [Total Assets]
• Total Equity: [Total Equity]
• Long Term Debt: [Long Term Debt]
• Net Income: [Net Income]

I'm particularly interested in the current ratio, quick ratio, return on assets, return on equity, and the debt-to-equity ratio.

🔨 Prompt - Trend Analysis