accounting-statements

--- name: accounting-statements description: Prepare the income statement, balance sheet and cash flow statement with notes from an adjusted trial balance. Use when the user has adjusted balances for a period and needs formal financial statements for it. Not for a P&L with commentary and runway straight from reconciled books, or for ratio analysis; see /bookkeeping-report or /finance-ratios. metadata: argument-hint: "[project] [--skip-checks]" workflow: accounting phase: 7 artifact: 07-statements.md --- # Financial Statements Prepare financial statements for "$ARGUMENTS". Use the adjusted trial balance to produce the income statement, balance sheet, and statement of cash flows. **Arguments.** `$ARGUMENTS` may contain the project name and optional flags. Take the first token as `<project>` and treat `--skip-checks` as a flag; never include flags in file paths. All paths below use `<project>`. If `--skip-checks` is present, skip the prerequisite check and, **before writing any artifact**, append one line to `.singularskills/log.jsonl`: `{"ts":"<ISO timestamp>","skill":"accounting-statements","workflow":"accounting","phase":7,"project":"<project>","event":"skipped","artifact":"07-statements.md","note":"<reason or \"none given\">"}`. **Compute with code.** Perform every calculation (totals, balances, ratios, variances, projections) with a script — Bash, Python or a spreadsheet formula written to a file — and include the computation alongside the result. Never do arithmetic mentally. ## Prerequisites **Part of a workflow.** This skill is phase 7 (Statements) of the Accounting Cycle workflow (`accounting`); cross-domain workflows run it too. First check `.singularskills/log.jsonl` for an open run for this project: a `run-started` line with `"project":"<project>"` and no later `run-finished` line for the same `workflow` and `project`. If one exists, the conductor is running you: continue here. Otherwise, if the user asked to start, run, continue or resume a process or workflow rather than this one step, do not continue here: invoke the `workflow` skill with the workflow the user asked for, or `accounting` when they named none, followed by `<project>`; it runs this phase in order, asks before it writes and records the run. Otherwise continue here: a later phase runs on its own, behind its gate. Run this skill's gate before writing: `sh <this skill's folder>/scripts/gate.sh <project> <project root>`, where `<project root>` is the folder that contains `.singularskills/` (use `.` when you are already there). If it exits non-zero, stop and tell the user what it printed, unless `--skip-checks` was given (see Arguments). On a refusal, before you stop, append this line to `.singularskills/log.jsonl` (create the folder and file if missing): `{"ts":"<ISO timestamp>","skill":"accounting-statements","workflow":"accounting","phase":7,"project":"<project>","event":"refused","artifact":"07-statements.md","note":"<what the gate printed>"}`. Once the gate has passed, or under `--skip-checks` once you have appended the `skipped` line, append this line before you start work: `{"ts":"<ISO timestamp>","skill":"accounting-statements","workflow":"accounting","phase":7,"project":"<project>","event":"started","artifact":"07-statements.md","note":""}`. Read `.singularskills/accounting/<project>/06-adjusted-balance.md` for the adjusted trial balance. Reference `references/financial-statements-template.md` for the statement format. ## Process 1. **Prepare the Income Statement:** - List all revenue accounts and their adjusted balances - List all expense accounts and their adjusted balances - Calculate gross profit (if applicable), operating income, and net income - Include earnings per share if the entity is a corporation 2. **Prepare the Balance Sheet:** - **Assets** — list current assets (cash, receivables, inventory, prepaid) and non-current assets (PP&E, intangibles) with subtotals - **Liabilities** — list current liabilities (payables, accrued, unearned) and non-current liabilities with subtotals - **Equity** — list contributed capital, retained earnings (including current period net income) - Verify that total assets equal total liabilities plus equity 3. **Prepare the Cash Flow Statement:** - **Operating activities** — start with net income, adjust for non-cash items and working capital changes (indirect method) - **Investing activities** — purchases and sales of long-term assets - **Financing activities** — debt proceeds/repayments, equity transactions, dividends - Verify ending cash matches the balance sheet cash balance 4. **Write the artifact** to `.singularskills/accounting/<project>/07-statements.md` with sections: - **Income Statement** — complete statement for the period - **Balance Sheet** — complete statement as of period end - **Cash Flow Statement** — complete statement for the period - **Notes** — significant accounting policies, footnote disclosures ## Output The financial statements written to `.singularskills/accounting/<project>/07-statements.md`. Present a summary highlighting: - Net income (loss) for the period - Total assets and total liabilities - Net cash position and change in cash **Record the run.** After you have written the artifact, append this line to `.singularskills/log.jsonl` (the `started` line of Prerequisites, with `"event":"finished"`): `{"ts":"<ISO timestamp>","skill":"accounting-statements","workflow":"accounting","phase":7,"project":"<project>","event":"finished","artifact":"07-statements.md","note":""}`. Open the artifact with this frontmatter (`agent` is the agent you run in, or `unknown`; `gate` is `passed` when the gate ran clean and `skipped` under `--skip-checks`): ```yaml --- skill: accounting-statements workflow: accounting phase: 7 project: <project> started: <ISO timestamp> finished: <ISO timestamp> agent: <the agent you run in, or "unknown"> gate: <passed|skipped> --- ``` End the artifact with `## Decisions` and `## Open questions`, in this shape: ```markdown ## Decisions - <what was chosen> — <why> — <what was rejected> ## Open questions - <what the next phase or a reviewer must settle> ``` End the artifact with this paragraph, verbatim: > **Not financial or tax advice.** This artifact is generated analysis for review by a qualified accountant or financial professional before any filing, reporting or decision relies on it.