Power BI :Visualization of Financial Performance Assignment
MBA 620 - Module 5
SNHU
The financial health and prospects of a company are only clear only after a thorough
study of documents such as balance sheets, cash flow statements, income statements and
shareholders' equity statements that relate to key financial statements of a company. In this
study, the key financial statements of company A and company B are compared. The study
will help understand the financial performance of the two companies, A and B. The study
also includes the comparison of assets, liabilities, equity, earnings and revenue from data
sets of each company.
Looking at figure 1 of company A, the conclusion drawn is that the total assets
owned by the company have decreased by a percentage of 19 percent in the three-year
observation period. In the year 2017, the total asset value was $104,136, which decreased to
$86,438 by the year 2019. The decline may be a result of asset minimization from the
company. When the equity and liabilities are studied, the decline is clearer. The decline is a
pattern seen across equity, revenue and assets.
Figure 1
When figure 2 is studied, company B, the total assets seem to have declined by 9
percent over the three-year observation period. The total asset value in 2017 was $124,317
for company B, which declined to $113,301 in 2019. This decline may have been rooted in
asset minimization taken up by the company. The total liabilities and shareholders' equity
have also declined like the total assets. The two trends are converging in similarity and
provide insights into the movement of equity, revenue, assets and liabilities.
Figure 2
The study of figure 3 from company A reveals that the company revenue is in the
path of increase. The gross profit decreased in 2018 and then increased in 2019. The total
expenses stayed at the same mark for both the years. There is an increase in net earnings
and earnings before taxes in 2019. Taxes also increased in 2019. In the study of figure 4
from company B, we understand that there is a decrease in revenue, gross profit, total
expenses, earnings before tax, net earnings, and taxes in the company's key financial
statements. Company B's financials are very different from that of company B.
Figure 3
Figure 4
The study of data collected for the three years of observation reveals that company B
had more financial difficulties than company A. A primary difference between the key
financial statements of the two companies is the revenue, gross profits, total expenses,
earnings before tax, net earnings, and taxes for company B over company A. There is an
increase in the income statement of company A which is a positive financial indicator.
Company A can benefit us more than the decreased financial prospects of company B.
