Practical Excel for Accounting: Pivot Tables, Drop-down Lists, and VLOOKUP

This paragraph introduces the session's focus on using Excel for accounting purposes. It covers the basics of setting up an Excel spreadsheet for accounting data entry from scratch, without importing from a bank or other sources. The speaker demonstrates how to create headers, use tables for data organization, and apply formatting to columns for dates and amounts. The process of entering data efficiently using table features and the benefits of Excel's automatic formatting and data entry are highlighted.

The speaker continues the discussion on Excel as a standalone tool, emphasizing the use of tables for organizing accounting data. They show how to insert additional columns for account categories and use list validation to ensure data consistency. The paragraph also covers the use of Excel's filtering mechanism to easily sort and view data based on specific criteria, such as dates or categories. The speaker advises against using separate tabs for each bank account, preferring a single table for all entries.

This paragraph delves into the use of pivot tables in Excel for generating financial reports. The speaker explains how to create a pivot table by selecting data from an organized table and setting up the rows and values to display a profit and loss report. They also discuss the importance of consistent data entry, particularly in distinguishing between debits (positive numbers) and credits (negative numbers). The speaker demonstrates how to use Excel functions to organize accounts and prepare data for reporting.

The speaker introduces the use of VLOOKUP in Excel to resolve account numbers based on account names. They demonstrate how to set up a chart of accounts and use it as a reference for data entry. The process involves creating a new column for account numbers and using VLOOKUP to match account names with their corresponding numbers. The speaker also explains how to format the VLOOKUP formula to automatically copy across the board for consistent data entry.

This paragraph focuses on the use of list validation in Excel to streamline data entry. The speaker shows how to create a drop-down list for account names, allowing for easy selection from a predefined list. They discuss the pros and cons of this method, including the ease of use but lack of search functionality. The speaker also demonstrates an alternative technique using autocomplete based on adjacent cells, providing a workaround for the search limitation.

The speaker explores advanced techniques for data entry and reporting in Excel. They demonstrate how to create a temporary drop-down list by right-clicking and selecting from a list based on the data above. The paragraph also covers the creation of a report column in the chart of accounts, which can be used to categorize accounts as balance sheet or profit and loss. The speaker shows how to use VLOOKUP to resolve account numbers and reports based on account names for more accurate reporting.

In the final paragraph, the speaker concludes the session by demonstrating how to finalize a profit and loss report using pivot tables. They show how to filter the report to display only profit and loss accounts, organize the data by account number, and display both debit and credit amounts. The speaker also introduces a method to concatenate account numbers with account names for a clearer presentation in the pivot table, enhancing the readability of the financial report.