Fundamentals of Graphic Aids: Charts and Graphs

Objectives Explain the value of graphs in reports Describe the criteria for quality graphs Describe the potential for misleading data Choose the correct graph for different data sets Construct bar graphs, pie charts, and line graphs

Why use charts? clarifyTo help clarify complex data supplementTo supplement text (not substitute text) focusTo help the reader focus on the data simplifyTo simplify the reader’s comprehension

To clarify, supplement, focus, simplify

To clarify, supplement, focus, simplify

To clarify, supplement, focus, simplify

Criteria for Quality Graphs 1. Shows the data 2. Helps the reader focus on the data rather than on the graph itself 3. Avoids misleading the reader or distorting the data 4. Simplifies the reader’s comprehension of the data 5. Is consistent with the verbal or numeric description of the data.

Potential for misleading the reader

Two Different Graphs Presenting the Same Information XYZ Company Safety Violations, XYZ Company Safety Violations,

Two Different Graphs Presenting the Same Information $515 $510 $505 $500 0 Oct Nov Dec $600 $500 $400 $100 0 Oct Nov Dec $200 $300 almost unnoticeable scale break XYZ Company Sales

XYZ Company Cost of Operations, Training & Development 10% Other 5% 35% Material & Capital Development Salaries 50% You be the judge.

Column and Bar Charts

Simple Vertical Column Chart

Simple Horizontal Bar Chart Western Cable TV Radio Station WROZ-FM Radio Station WKDM-AM Net Income (millions of dollars)

$3.2 million $55 $75 Expenditures for Real Estate Advertising in Selected Colorado Counties, 1998 Arapahoe County Denver County El Paso County Thousands of dollars SCALE BREAK

Multiple Column Chart

Stacked (segmented or subdivided) Column Chart

Bilateral Column Chart

Choose the Correct Column or Bar Chart Situation 1: Radkur, Inc. net profit for 8 years million million million million million million million million

Choose the Correct Column or Bar Chart Situation 2: Provide the correct graph to depict projected annual sales for XYZ Company for the next 5 years: Year Projected Sales Revenue million million million 412.5million million

Choose the Correct Column or Bar Chart Situation 3: Provide the correct graph to depict projected income of three divisions for XYZ Company for the next 3 years as follows (in millions): Year Division A Division B Division C

Pie Charts

Line Charts

Creating a Chart Six main steps to create a chart 1.Specify the data series 2.Select the range of cells to chart 3.Select the chart type 4.Insert the chart and designate the chart location 5.Choose chart options/add graphics in charts 6.Change the chart location and size

Six Steps 1.Specify the data series –The rows and/or columns that contain the data you want to chart 2.Select the range to chart –Can be a single cell, but most often is multiple cells –Cells may be adjacent or non-adjacent –Use Shift key to select adjacent cells; use Ctrl key to select non-adjacent cells

Six Steps (continued) 3.Select the chart type –Each type presents data in a different way –Pick the type that will best visually illustrate the information you want to convey

Select a Chart Type Chart TypePurpose ColumnCompares categories, shows changes over time Bar Shows comparison between independent variables. Not used for time or dates Pie Shows percentages of a whole. Exploded pie emphasizes a popular category LineShows change in a series over categories or time DoughnutCompares how two or more series contribute to the whole ScatterShows correlation between two sets of values StockShows high low stock prices

Six Steps (continued) 4.Insert chart and designate location –Insert as an embedded object in the worksheet Can print worksheet and chart on one page –Insert the chart as a New Sheet Will require you to print the worksheet and chart on separate pages –You can choose the location to display the chart

Six Steps (continued) 5.Choose chart options using the Design, Layout and Format tabs –The Design tab can be used to display data in rows or columns –The Layout tab can be used to change the display of chart elements –The Format tab can be used to apply special effects

Six Steps (continued) Add graphics to chart –May add company logos or representative clip art to personalize charts –Remember, less is sometimes more, so be sparing in use of graphics

Add a Graphic To add a graphic to a chart: –In the Illustrations section on the Insert tab, select the medium where the graphic will come from (Picture, Clip Art, or Smart Art) –Search for and insert the graphic –Size and move the graphic on the chart as desired

Six Steps (continued) 6.Change the chart location and size –Select the chart to reveal sizing handles –Drag the sizing handles to achieve desired location and size

Print Charts You can print a chart: –Including the worksheet in which it is embedded –That is embedded, without printing the worksheet –That was placed on a separate worksheet Always Print Preview to ensure you are printing what you intended Select Print from the File menu or click the Print button on the Standard Toolbar

Hands-On Exercises 1 (p. 201) and 2 (p. 212)