Balance Sheet 360°: Learn to Prepare and Audit with AI
Step into the future of finance! Learn how to effortlessly prepare and audit balance sheets using AI. Discover smart tools, spot errors faster, and boost accuracy — all in one power-packed session.
Faculty Instructor
Start Date
21 May 2025
End Date
02 Jun 2025
Duration :
2 Hrs
Lessons :
2
Time :
07:00 PM
-
08:00 PM
₹1700
₹2500
+GSTWho is this for?
- Students and Learners
- Government Officials
- Business Owners
- Finance Professionals
- Accountants
- Tax Professionals
What will be Covered in the Course?
How To Prepare a Balance Sheet for Non-Corporate Entities
Understand the Basic Structure
- A Balance Sheet shows the financial position on a given date and is divided into:
- A. Liabilities
- Capital / Owner’s Equity
- Drawings (deducted from capital)
- Loans (secured/unsecured)
- Sundry Creditors
- Outstanding Expenses
- Other Liabilities (e.g., taxes payable)
B. Assets
- Fixed Assets (Land, Building, Plant, Furniture)
- Current Assets (Cash, Bank, Stock, Debtors)
- Loans & Advances (given)
- Prepaid Expenses
- Other Receivables
Key Steps to Prepare the Balance Sheet
- Step 1: Prepare a Trial Balance
- Start with a trial balance as on the reporting date. It includes all debit and credit balances.
- Step 2: Prepare Profit & Loss Account
- This gives the net profit or loss, which is adjusted in the capital account on the balance sheet.
- Step 3: Prepare the Balance Sheet
- Classify each ledger into Assets or Liabilities.
- Adjust capital with net profit/loss and drawings.
- Include depreciation on fixed assets, if applicable.
Capital Account Presentation (Non-Corporate)
- Opening Capital
- Net Profit for the year
- Drawings
- Closing Capital (shown on liabilities side)
Format Example (Vertical)
- Balance Sheet as at [Date]
Points to Remember
- No Schedule III compliance required, unlike companies.
- Balance Sheet format can be vertical or horizontal (T format).
- For tax audit, details are needed under Form 3CD – Clause 9.
- For NGOs/Trusts, refer to Income & Expenditure Account and Receipts & Payments Account, along with the Balance Sheet.
Tools for Preparation
- Tally / Busy / Zoho Books
- Excel templates
- Customized GPTs for balance sheet generation (can be built using Open AI API)
Balance Sheet Audit with AI: Transforming Traditional Reviews with Intelligent Automation
Introduction
- Welcome and context setting
- Importance of balance sheet accuracy in financial reporting
- Problems with traditional audit techniques (manual review, time-intensive, error-prone)
Basics Refresher: What is Balance Sheet Audit?
- Objective of balance sheet audit
- Key components to verify:
- Assets: Cash, Receivables, Inventory, Fixed Assets
- Liabilities: Payables, Borrowings, Provisions
- Equity: Capital, Reserves
The Role of AI in Auditing
- Introduction to AI/ML and NLP in finance
- Key AI tools used:
- Document recognition
- Predictive analytics
- NLP for ledger and narration analysis
- Exception detection algorithms
- Real-life examples (Chat GPT, Mind Bridge AI, Data rails, Valid is, etc.)
Live Demo / Workflow of Balance Sheet Audit Using AI
- Uploading trial balance and ledgers
- Extracting key data using AI tools
- Ratio analysis and trend comparisons
- Outlier detection (e.g., unusual cash transactions, abnormal provisioning)
- Example tools:
– Chat GPT with custom prompts
– Excel with Power Query + GPT plugins
– Open source audit tools like Python + Pandas + Lang Chain
Practical Applications and Use Cases
- AI detecting fictitious assets or undervalued liabilities
- Automated aging analysis of receivables/payables
- Flagging mismatches between bank balances and books
- Cross-checking depreciation and provisions with historical trends
- Internal control improvements via AI audit trails
Risks, Limitations & Ethical Considerations
- Dependency on data quality
- AI cannot replace professional judgment
- Bias and audit evidence reliability
- Regulatory concerns
Q&A and Closing
- Open floor for queries
- Feedback collection
- Share AI tools list, sample Excel template, and e-book link
- Invite to next session / advanced course
Add-Ons
- Handout: “Top 10 AI Tools for Auditors”
- Sample Excel audit template with AI formulas
- PDF: “Balance Sheet Audit Using Chat GPT Prompts”
Balance Sheet 360° Course’s Key Features
- English Medium
- Duration 2 Hour
- E Certificate
- E Notes available
- The Recordings will be provided