which chart type is ideal for visualizing financial data such as a p&l?

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24-11-2021
Business

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which chart type is ideal for visualizing financial data such as a p&l?

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Lanuel Lanuel · Answer 1 · 2021-11-29T15:04:16+01:00

The chart type which is ideal for visualizing financial data such as a profit and loss (P&L) is a: bar chart.

A profit and loss (P&L) statement can be defined as a financial report that provides a summarized information of the following financial data about a business firm:

Total revenues.

Expenses.

Profit.

Loss.

Hence, a profit and loss (P&L) statement gives an insight to investors on how a business firm is operating and whether or not it has the ability to generate profits at the end of a business year.

Typically, the chart type which is ideal for visualizing financial data such as a profit and loss (P&L) is a bar chart because each rectangular bar can be used to represent the finance or revenue (cash inflow) of the business firm.

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