Charts

The Chart function was designed to facilitate the analysis of an association by selective use of the 59 plus 6 ratios in the financial profile, over the five years of historical plus the thirty years of forecast data.

It is certainly easier and arguably more sensible to examine the future projections, and thereby the underlying assumptions, in "broad-brush" terms via graphical representation than by studying 35 columns of numbers.

Any particular ratio can be examined and printed off as a time-series chart. The best way of carrying out good, focused analysis using the Chart facility is to skim all the ratios then select maybe a dozen which capture the key features of the financial profile over time for that particular association and that particular scenario. It is probably better to study these detailed charts after the Combined Charts, which are based on some of the most important ratios.

These 35-year charts are also an excellent way of revealing, examining and evaluating the effects of the underlying assumptions. It is easy to get significant but unintended and maybe implausible "drift" over 30 years in the "output variables" through the combination of seemingly plausible input assumptions. The time-series charts are a good way of picking up such forecasting 'errors'.

Printable version

 
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