Spreadsheets in Finance and Forecasting

Introduction to Charts, Summary Values and Pivot Tables

Objectives for Week 3 After studying this week’s work, you

should be able to: present data in the form of graphs and charts

using create data summaries using statistical

measures Use pivot tables to create data summary tables Interpret the data correctly, drawing meaning

from it Write coherent reports using data summary

techniques

Charts A chart is any form

of graphical representation of data

In this case we are comparing the profits in millions of two companies0

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1stQtr

2ndQtr

TECSOADSA

Cornershop DataAs an example, of how we create charts we will look at the data we used in week 1

Sales for Aughton

News Stat Groc ConfMonday £240.00 £25.00 £350.00 £120.00

Tuesday £220.00 £30.00 £300.00 £140.00

Wednesday £210.00 £15.00 £270.00 £90.00

Thursday £230.00 £10.00 £305.00 £80.00

Friday £310.00 £28.00 £480.00 £110.00

Saturday £330.00 £20.00 £410.00 £200.00

Sunday £510.00 £10.00 £400.00 £180.00

Action Point! Open up the

Cornershop Collated Data Excel file now.

Bring the first page to the screen.

Follow the actions as we go through the slides.

Cornershop DataTo begin with, we will graph the sales of Newspapers for AughtonSales for Aughton

News Stat Groc ConfMonday £240.00 £25.00 £350.00 £120.00

Tuesday £220.00 £30.00 £300.00 £140.00

Wednesday £210.00 £15.00 £270.00 £90.00

Thursday £230.00 £10.00 £305.00 £80.00

Friday £310.00 £28.00 £480.00 £110.00

Saturday £330.00 £20.00 £410.00 £200.00

Sunday £510.00 £10.00 £400.00 £180.00

On the spreadsheet, select the area you wish to graph

Then select the Chart Wizard icon

The Chart Wizard dialogue box appears

select the chart type

check the data range

add title and axis labels

put it on the same sheet or create an new sheet

Finished!

The First Chart

Newspapers

£0.00£100.00£200.00£300.00£400.00£500.00£600.00

Days

Sa

les

Va

lue

News

After creating your chart, you may not be totally happy with the way that it looks.

You can change the chart in lots of different ways

Editing the Chart 1

Click on the outside of the chart, then on View, and select Toolbars, and select Chart

The Chart toolbar appears. This will allow you to change some features of the chart

Challenges 1 Remove the Legend Add the data to the chart Change the chart into:

A jagged line graph A pie chart A scatter graph of points 3-dimensional graph

Change the title and the data labels.

Editing the Chart 2Click on the edge of the chart, then on Chart , then Chart Options, and this box appears.

This option box will allow you to change more features than on the toolbar.

Editing the Chart 3Click on the edge of the chart, then on Chart , then Chart Type, and this box appears.

This box supplies you with more chart types than you could possibly want.

When you get bored with the ordinary types you can try some “custom types”

Challenges 2 Use the edit boxes from the previous two

slides to change the chart. Firstly, explore the wide range of different

charts that you can create. Secondly, experiment with different types

of formatting; this should include different viewpoints for for 3-D charts different sized text different orientations of text different fonts and colours.

A More Complex Chart

Highlight the whole block of data shown, and click Chart Wizard

We will now plot the whole of the original Aughton data (not totals)

Select Line graph as chart type, and add in title and axis labels

Comparing Data

Aughton Sales

£0.00

£100.00

£200.00

£300.00

£400.00

£500.00

£600.00

Days

Sa

les

News

Stat

Groc

Conf

This is the chart that is produced. It is possible to create other charts for the same data

Alternative Presentation

Monday

Tuesday

Wednesday

Thurs

day

Friday

Satu

rday

Sunday

News

Conf£0.00

£100.00

£200.00

£300.00

£400.00

£500.00

£600.00

Sa

les

Days

Aughton Sales

News

Stat

Groc

Conf

Although this is the same data the chart looks different, and is much harder to interpret

Interpreting the ChartAughton Sales

£0.00

£100.00

£200.00

£300.00

£400.00

£500.00

£600.00

Days

Sales

News

Stat

Groc

Conf

Producing a chart is by no means the end of the story, in fact it’s just the beginning.

Part of the art here is to produce charts which “tell a story”

This means finding relationships in the data and selecting charts which express these most clearly.

Challenge 3Aughton Sales

£0.00

£100.00

£200.00

£300.00

£400.00

£500.00

£600.00

Days

Sales

News

Stat

Groc

Conf

Note down three different features of this data that you can see immediately from the chart.

Compare these with the person next to you.

Do you think that what you have noticed would be of interest to the Area Sales Manager of Cornershop Ltd.? that is, to what extent do you think that these features might have explanations in real world events, rather than just random fluctuations?

Possible Interpretations For most of the week, the sales figures

(least to greatest) are: Stationery, Confectionery, Newspapers and Grocery

There does not seem to be much call for Stationery.

On Sunday Newspapers outperform Groceries.

There appears to be a bit of a dip in mid-week sales. This most affects grocery and confectionery

Summarising Data As well as creating

charts, we can also use other features of Excel to summarise data

Two important simple summary values are the Average and the Standard Deviation

Average and Standard Deviation

Sales for Aughton

News StatMonday £240.00 £25.00

Tuesday £220.00 £30.00

Wednesday £210.00 £15.00

Thursday £230.00 £10.00

Friday £310.00 £28.00

Saturday £330.00 £20.00

Sunday £510.00 £10.00

Total £2,050.00 £138.00

Average £292.86 £19.71

St. Dev £106.26 £8.30

On the Aughton Data Sheet, just below the Total, type in the row names “Average”, and below that “St.Dev.”

In the “News” column, next to “Average”, type in :

= Average(B4:B10)

Underneath type in :

= stdev(B4:B10)

Sales for Aughton

News Stat Groc Conf Total Average St.DevMonday £240.00 £25.00 £350.00 £120.00 £735.00 £183.75 £141.50

Tuesday £220.00 £30.00 £300.00 £140.00 £690.00 £172.50 £115.29

Wednesday £210.00 £15.00 £270.00 £90.00 £585.00 £146.25 £115.14

Thursday £230.00 £10.00 £305.00 £80.00 £625.00 £156.25 £135.12

Friday £310.00 £28.00 £480.00 £110.00 £928.00 £232.00 £203.38

Saturday £330.00 £20.00 £410.00 £200.00 £960.00 £240.00 £170.29

Sunday £510.00 £10.00 £400.00 £180.00 £1,100.00 £275.00 £223.68

Total £2,050.00 £138.00 £2,515.00 £920.00 £5,623.00 £1,405.75 £1,078.37

Average £292.86 £19.71 £359.29 £131.43 £803.29

St. Dev £106.26 £8.30 £74.52 £44.88 £193.69

Using Auto fill, create the following summary values for each column and row and for the two totals

What does the “average” value tell us? The average gives us

a “representative” amount for that row or column

If the average is substituted for each item, it gives the same total

That is, £292.86 on each day would have given £2050.00

News StatMonday £240.00 £25.00

Tuesday £220.00 £30.00

Wednesday £210.00 £15.00

Thursday £230.00 £10.00

Friday £310.00 £28.00

Saturday £330.00 £20.00

Sunday £510.00 £10.00

Total £2,050.00 £138.00

Average £292.86 £19.71

St. Dev £106.26 £8.30

What does the “Standard Deviation” value tell us? The standard deviation tells

us about how varied the sales are from day to day

Statistics tells us that we would normally* expect to similar data to be: less than the average +

the standard deviation, greater than the average

– the standard deviation

*about 70% of the time

News StatMonday £240.00 £25.00

Tuesday £220.00 £30.00

Wednesday £210.00 £15.00

Thursday £230.00 £10.00

Friday £310.00 £28.00

Saturday £330.00 £20.00

Sunday £510.00 £10.00

Total £2,050.00 £138.00

Average £292.86 £19.71

St. Dev £106.26 £8.30

Commenting on the data In Aughton, the

newspapers typically almost £300 worth a day. This ranges from £210 on Wednesday to £510 on Sunday.

Looking at the data, we would not expect sales of Newspapers on a “normal” day to be much less than £200, or much higher than £300

News StatMonday £240.00 £25.00

Tuesday £220.00 £30.00

Wednesday £210.00 £15.00

Thursday £230.00 £10.00

Friday £310.00 £28.00

Saturday £330.00 £20.00

Sunday £510.00 £10.00

Total £2,050.00 £138.00

Average £292.86 £19.71

St. Dev £106.26 £8.30

Commenting on the data In Aughton, the newspapers

typically sell almost £300 worth a day. This ranges from £210 on Wednesday to £510 on Sunday.

Looking at the data, we would not expect sales of Newspapers on a “normal” day to be much less than £200, or much higher than £400

News StatMonday £240.00 £25.00

Tuesday £220.00 £30.00

Wednesday £210.00 £15.00

Thursday £230.00 £10.00

Friday £310.00 £28.00

Saturday £330.00 £20.00

Sunday £510.00 £10.00

Total £2,050.00 £138.00

Average £292.86 £19.71

St. Dev £106.26 £8.30

The average is £292.86, which is “about £300”.

The standard deviation is £106.26, which is about £100.

Average – St.dev =

£292.86- £106.26 = £186.60

Average + St.dev =

£292.86 + £106.26 = £399.12

Challenge 4 Examine the total

Sales figures for Aughton

Write a brief summary statement for this similar to the one we made for Newspapers

Total£735.00

£690.00

£585.00

£625.00

£928.00

£960.00

£1,100.00

£5,623.00

£803.29

£193.69

MondayTuesdayWednesdayThursdayFridaySaturdaySunday

Total

AverageSt. Dev

Challenge 4: Solution Each Day, the

Aughton branch sells about £800 worth of goods.

This ranges from a mid-week low of just under £600, to £1100 on Sunday.

On a normal day, we would expect sales of somewhere between £600 and £1000.

Total£735.00

£690.00

£585.00

£625.00

£928.00

£960.00

£1,100.00

£5,623.00

£803.29

£193.69

MondayTuesdayWednesdayThursdayFridaySaturdaySunday

Total

AverageSt. Dev

Pivot Tables A Pivot Table is another important

method of summarising data for example:

Sum of Amount LocationDay Aughton Bury Childwall (blank) Grand TotalMonday 735 610 1010 2355Tuesday 690 690 905 2285Wednesday 585 610 765 1960Thursday 625 740 925 2290Friday 928 950 1118 2996Saturday 960 875 1150 2985Sunday 1100 1055 1745 3900(blank)Grand Total 5623 5530 7618 18771

This table is a pivot table created to total the information on sales for each day

The Raw Data Open the Spreadsheet

Cornershop Raw Data This contains the

same data that we have been working with, but in a raw, unformatted form.

Check that you understand how this data has been presented.

Location Goods Day AmountAughton Newspapers Monday £240.00Aughton Newspapers Tuesday £220.00Aughton Newspapers Wednesday £210.00Aughton Newspapers Thursday £230.00Aughton Newspapers Friday £310.00Aughton Newspapers Saturday £330.00Aughton Newspapers Sunday £510.00Aughton Stationery Monday £25.00Aughton Stationery Tuesday £30.00Aughton Stationery Wednesday £15.00Aughton Stationery Thursday £10.00Aughton Stationery Friday £28.00Aughton Stationery Saturday £20.00Aughton Stationery Sunday £10.00Aughton Grocery Monday £350.00Aughton Grocery Tuesday £300.00Aughton Grocery Wednesday £270.00Aughton Grocery Thursday £305.00Aughton Grocery Friday £480.00Aughton Grocery Saturday £410.00

Creating a Pivot Table

Click on the button top left to select the whole sheet

Click Data, then pivot table to action the Pivot Table Wizard.

The Pivot Table Options

Drag the “Day” Button to here

Drag the “Location” Button to here

The Pivot Table Options

Drag the “Amount” Button to here

Now click on anywhere in the body of the table then select this icon

Pivot Table Field Options

This allows your data to be counted, totalled, averaged or a whole set of other things.

Click on Sum, to create totals

Completed Pivot Table

Sum of Amount LocationDay Aughton Bury Childwall (blank) Grand TotalMonday 735 610 1010 2355Tuesday 690 690 905 2285Wednesday 585 610 765 1960Thursday 625 740 925 2290Friday 928 950 1118 2996Saturday 960 875 1150 2985Sunday 1100 1055 1745 3900(blank)Grand Total 5623 5530 7618 18771

This has now created a pivot table which gives totals of your data for each location for each day.

by dragging these labels in and out of the pivot table toolbar, we can create different pivot tables

Challenge 5 Create a pivot

table to calculate the average amount of goods sold in each location

Pivot Table: Goods v Location

Average of Amount GoodsLocation Confectionery Grocery Newspapers Stationery (blank) Grand TotalAughton £131.43 £359.29 £292.86 £19.71 £200.82Bury £111.43 £215.00 £338.57 £125.00 £197.50Childwall £250.71 £340.71 £237.14 £259.71 £272.07(blank)Grand Total £164.52 £305.00 £289.52 £134.81 £223.46

This table has been reformatted to currency, as the calculations yielded several decimal places

Pivot Table Chart

Aughton BuryChildwall

(blank)

Confectionery

Grocery

Newspapers

Stationery

(blank)

£0.00

£50.00

£100.00

£150.00

£200.00

£250.00

£300.00

£350.00

£400.00

Confectionery

Grocery

Newspapers

Stationery

(blank)

Drop Page Fields Here

Average of Amount

Location

Goods

By clicking on chart in the Pivot Table Option box, you can present the data as a chart.

Can you re-create this one?

Writing a Report

An important feature of creating tables and charts, and calculating summary values is that they can be quickly understood by a busy manager.

A presentation would normally take the form of a short report, word-processed with the tables and charts embedded in the text.