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Am I using the correct chart?

  1. #1
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    Am I using the correct chart?

    Excel has many different types of charts, and even more formatting options. How do you decide which chart is the right chart for your data? I'm seeking advice to figure this out. I maintain data for prepaid expenses and fixed assets on a ongoing basis and a few others.

    Thank you.

    L. Cross

  2. #2
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    Re: Am I using the correct chart?

    Rather unexciting data to chart
    - before deciding on the chart type, it is best to determine what to chart

    I would not necessarily chart the actual values
    - often meaningless in isolation.
    - better put in context by relating them to something else

    Decide what influences whatever it is you are wanting to chart
    - business activity?
    - number of sites?
    - number of employees?
    - business days in the period
    etc

    Some expenses are variable, others fixed, others semi-fixed
    - does it make sense to sub-categorise expenses (and by implication prepaymets)

    Fixed assets
    - chart as proportion of total assets?
    - some categories of fixed asset change regularly , others do not, highlight the ones which vary
    etc

    Prepaid expenses
    - fluctuate like the wind from month to month, but often pretty similar to same month in prior year

    Business structure
    - look at youtr business structure and sub-divide assets so that the resultant data is useful

    example
    a business with 100 shops (10 large, 40 medium, 50 small)
    - set up separate charts for large, medium and small
    - this way any true anomoly jumps out
    etc

    The ONLY purpose of a businesss chart should be to give management "visual" signals to indicate either that no action is required or else to direct attention to areas that do require it
    - any chart that fails that hurdle should be discontinued
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