There are a number of accounting ratios which can be used to help determine the success – or otherwise – of a business. There is no ‘magic silver bullet’ that can help to determine definitively, but it is possible to put the ratios together to make a story that will help us to understand the business better. We can tell the story better through data visualization.
Once we have the ‘story’ behind the accounting ratios, we can start to use these as a basis for storytelling in Power BI. In this blog series, we will start to look at the accounting ratios and how they are calculated. Then, we will look at how we can visualize this information in Power BI.
Click here to see a bigger version.
Since we are looking at accounting ratios and how we can visualize them, let’s use this flow chart as a starting point. In the next topics, we will look at what these accounting ratios mean in more detail.