ChatGPT Prompts for Financial Analysts

<context> You are a senior FP&A analyst building a three-statement model for [COMPANY], a [INDUSTRY] business with [REVENUE] in annual revenue. Historical figures: [FIGURES]. I need a clean, auditable model skeleton in Excel/Google Sheets, not formula automation. </context> <task> 1. List the tab structure (Assumptions, Income Statement, Balance Sheet, Cash Flow, Supporting Schedules). 2. For each statement, lay out the line items in standard order and note which are driver-based vs. calculated. 3. Specify the key links between statements (e.g., net income to retained earnings, capex to PP&E, change in cash to balance sheet). 4. Flag the circular reference risk (interest on revolver) and how to handle it with a switch. 5. List 8 input assumptions I must source myself, with the unit for each. Label every output as requiring my verification against source filings before use. </task>

<context> You are a financial analyst modeling revenue for [COMPANY]. Business model: [BUSINESS MODEL]. Known drivers: [FIGURES] (e.g., units, price, customers, churn, ARPU). I want a bottom-up revenue build I can replicate in a spreadsheet. </context> <task> 1. Decompose revenue into its core drivers for this business model (volume x price, or customers x ARPU x retention). 2. Show the calculation logic for each driver as a written formula, not a number. 3. Identify which drivers are most sensitive and worth isolating as separate assumptions. 4. Suggest a sanity-check ratio to validate the build against reported totals. 5. List the data sources I should pull each driver from. State that all driver values are placeholders I must replace and verify. </task>

<context> You are building a debt schedule for [COMPANY] inside a three-statement model. Facilities: [FIGURES] (principal, rate, term, amortization for each tranche). I need the schedule logic and how it feeds the other statements. </context> <task> 1. Lay out the debt schedule rows: beginning balance, draws, mandatory amortization, optional prepayment, ending balance. 2. Show how to calculate interest expense (average balance vs. beginning balance methods) and recommend one. 3. Explain how the revolver acts as the cash sweep / plug and the circularity it creates. 4. Detail the links to the income statement (interest), cash flow (financing), and balance sheet (debt balances). 5. Note covenant ratios I should track alongside the schedule. Flag every rate and balance as a placeholder requiring my confirmation against the credit agreement. </task>

<context> You are a financial analyst projecting working capital for [COMPANY]. Historical balances and ratios: [FIGURES] (DSO, DIO, DPO, accrued items). I want a working capital schedule that ties to the cash flow statement. </context> <task> 1. List the working capital line items to model (AR, inventory, AP, prepaid, accrued liabilities, deferred revenue). 2. For each, give the days-based driver formula (e.g., AR = DSO / 365 x revenue). 3. Show how the period-over-period change flows into cash flow from operations. 4. Recommend reasonable benchmark ranges to pressure-test my day assumptions for this industry. 5. Identify the one or two items that move cash the most for this business. Label benchmark ranges as starting points I must validate, not authoritative figures. </task>

<context> You are reviewing a financial model for [COMPANY] before it goes to the investment committee. I will describe the model structure and flag areas I am unsure about: [FIGURES] (describe formulas, links, or outputs in question). </context> <task> 1. Produce a model-review checklist covering balance sheet balancing, cash flow tie-outs, sign conventions, and hardcodes inside formulas. 2. List the most common three-statement linkage errors and how to spot each. 3. Suggest stress inputs (zero growth, extreme margin) that quickly expose broken links. 4. Recommend formatting conventions that make audit faster (input vs. formula color coding). 5. Give me 5 specific questions to ask myself about the areas I flagged. Remind me you cannot see my actual spreadsheet, so every check must be performed and verified by me. </task>

<context> You are a financial analyst reviewing [COMPANY]. I will provide income statement, balance sheet, and cash flow figures: [FIGURES]. I want a complete ratio analysis grouped by category. </context> <task> 1. Calculate liquidity ratios (current, quick, cash) and explain what each says for this business. 2. Calculate leverage ratios (debt/equity, debt/EBITDA, interest coverage). 3. Calculate profitability ratios (gross, operating, net margin, ROE, ROA, ROIC). 4. Calculate efficiency ratios (asset turnover, inventory turnover, receivables turnover). 5. Present results in a table with the formula, the value, and a one-line interpretation per ratio. Show your arithmetic for each ratio so I can verify it, and note that I must confirm all input figures against audited statements. </task>

<context> You are analyzing [COMPANY] using common-size statements. Multi-year figures: [FIGURES]. I want both vertical and horizontal common-size views with commentary. </context> <task> 1. Convert the income statement to vertical common-size (each line as a percent of revenue). 2. Convert the balance sheet to vertical common-size (as a percent of total assets). 3. Produce a horizontal year-over-year percent-change view. 4. Highlight the three line items with the largest shifts and propose hypotheses for each. 5. List the follow-up data I would need to confirm or reject each hypothesis. Frame all hypotheses as questions to investigate, and flag that percentages depend on figures I must verify. </task>

<context> You are assessing earnings quality for [COMPANY] by comparing reported profit to cash generation. Figures: [FIGURES] (net income, operating cash flow, capex, working capital changes, non-cash items). </context> <task> 1. Calculate the cash conversion ratio (operating cash flow / net income) and interpret it. 2. Reconcile net income to operating cash flow and identify the largest reconciling items. 3. Flag any signs of low earnings quality (rising receivables outpacing revenue, capitalized costs, one-time gains). 4. Calculate free cash flow and free cash flow conversion. 5. Summarize whether reported profitability appears backed by real cash, with caveats. </task>

<context> You are benchmarking [COMPANY] against peers. I will supply the metrics for [COMPANY] and each peer: [FIGURES] (margins, growth, leverage, returns). I want a comparison that surfaces relative strengths and weaknesses. </context> <task> 1. Build a side-by-side table of the supplied metrics for the company and peers. 2. Add a column showing the peer median or mean for each metric. 3. Mark where the company is above, in line with, or below the peer set. 4. Summarize the company's relative positioning in 3 bullet points. 5. Note which metric differences most warrant a deeper look. Do not invent peer figures — use only the values I provide, and remind me to verify them. </task>

<context> You are reviewing several years of financials for [COMPANY] to spot trends and anomalies before an earnings discussion. Figures: [FIGURES] (multi-period line items). </context> <task> 1. Calculate the compound annual growth rate for revenue, gross profit, and operating income. 2. Identify line items whose trend direction or rate of change shifts noticeably between periods. 3. Flag any item that moves inconsistently with related items (e.g., revenue up but margin collapsing). 4. Propose a likely operational or accounting explanation for each anomaly as a hypothesis. 5. List the questions to raise with management or in the 10-K notes. Present explanations as hypotheses to test, not conclusions, and flag that all figures need verification. </task>

<context> You are an FP&A analyst building next year's operating budget for [COMPANY], a [INDUSTRY] business. Prior-year actuals and known plans: [FIGURES]. I need a structured budget framework. </context> <task> 1. Outline the budget build order (revenue, COGS, opex by function, capex, headcount). 2. For each major cost category, recommend whether to budget as a percent of revenue, a fixed amount, or a per-headcount figure. 3. List the cross-functional inputs I should collect from each department. 4. Suggest a small set of guardrail metrics to keep the budget realistic (margin, opex growth vs. revenue growth). 5. Recommend a monthly phasing approach for seasonality. Mark every prior-year figure and assumption as requiring my verification. </task>

<context> You are forecasting revenue for [COMPANY] for the next [PERIOD]. Historical revenue and drivers: [FIGURES]. I want multiple forecasting approaches compared, not a single guess. </context> <task> 1. Describe at least three forecasting methods relevant here (trend extrapolation, driver-based, run-rate annualization). 2. For each method, show the calculation logic using my figures as placeholders. 3. Compare the methods on accuracy assumptions and data requirements. 4. Recommend which method fits this business and stage, with reasoning. 5. Suggest how to triangulate a final number from the methods. Remind me the outputs are projections dependent on my inputs and must be sanity-checked against bookings and pipeline data. </task>

<context> You are forecasting operating expenses for [COMPANY]. Historical opex detail: [FIGURES] (by category and as a percent of revenue). I want a disciplined expense forecast. </context> <task> 1. Classify each cost category as fixed, variable, or semi-variable. 2. Recommend the right driver for each (revenue, headcount, units, fixed escalation). 3. Build the forecast logic per category as written formulas. 4. Flag categories where scaling assumptions are riskiest. 5. Show how total opex and operating margin evolve under the build. Flag all historical percentages as inputs I must confirm before relying on the forecast. </task>

<context> You are preparing a budget-vs-actual variance report for [COMPANY] for [PERIOD]. Budget and actual figures by line: [FIGURES]. I need a clean variance analysis with commentary. </context> <task> 1. Calculate the dollar and percent variance for each line item. 2. Classify each variance as favorable or unfavorable from a profit standpoint. 3. Decompose key variances into volume vs. rate/price components where applicable. 4. Highlight the three variances most material to the period result. 5. Draft neutral, factual commentary for each material variance for management review. Show the variance arithmetic and remind me to confirm both budget and actual figures. </task>

<context> You are maintaining a rolling forecast for [COMPANY]. Current forecast, latest actuals, and new information: [FIGURES]. I want to reforecast the remaining periods systematically. </context> <task> 1. Outline a process to roll actuals into the forecast and extend the horizon by one period. 2. Identify which forward assumptions should change given the latest actuals and new information. 3. Quantify the impact of each adjustment on full-year revenue and operating income. 4. Flag assumptions that should stay fixed to avoid over-fitting to one period. 5. Summarize the reforecast story in three bullets for leadership. Label all impact estimates as dependent on figures I must verify. </task>