Hired as a data analyst for a bank

Imagine that you are hired as a data analyst for a bank. The bank would like to learn more about its customers’
spending and banking habits to identify areas of improvement. You have been asked to review the bank’s income
statements over the last 5 years and identify trends that will allow them to better understand their customers.
Download your chosen bank’s annual income statements from the last 5 years from the Mergent database in the
University of Arizona Global Campus Library. Review the Mergent Online: Accessing Mergent Online resource
for tips on accessing and searching the Mergent database. Use the “Company Financials” tab in Mergent to
access the income statements.
Identify three variables or categories that the bank may be interested in further researching, such as sales or
revenue. Using these three variables or categories, build a frequency table, a bar chart, and a pie chart using
Excel. Review the Microsoft Excel Help: BUS625 Excel Guide webpage for resources to help utilize Microsoft
Excel. You will be using the same three variables in each table and chart, so the same data will be displayed in
three different formats.
After creating the three tables, which of the tables and charts do you find most useful for communicating
information about the bank’s customers? Write a brief case report summarizing your analysis and results.
In your paper,
Identify three variables in the income statements that the bank may be interested further researching to learn
more about its customers.
Develop a frequency table, a bar chart, and a pie chart using variables in the income statements for your bank.
Analyze the table and charts to find the most useful information for communicating information about the bank’s
customers

Sample Solution

  1. Open Excel and create a new workbook.
  2. Import the data from the Mergent database into Excel.
  3. Select the data that you want to include in the frequency table.
  4. Go to the Insert tab and click on the PivotTable button.
  5. In the PivotTable dialog box, select New sheet and click on the OK button.
  6. In the PivotTable, drag the Category field to the Rows area and the Amount field to the Values area.
  7. Right-click on the Amount field and select Value Field Settings.
  8. In the Value Field Settings dialog box, select the Count option and click on the OK button.
  9. The frequency table will now be displayed in the PivotTable.

To build a bar chart, follow these steps:

  1. Select the data that you want to include in the bar chart.
  2. Go to the Insert tab and click on the Bar chart button.
  3. Select the type of bar chart that you want to create.
  4. The bar chart will now be displayed in the Excel sheet.

To build a pie chart, follow these steps:

  1. Select the data that you want to include in the pie chart.
  2. Go to the Insert tab and click on the Pie chart button.
  3. The pie chart will now be displayed in the Excel sheet.

Here are the three variables or categories that the bank may be interested in further researching:

  • Net income: This is the amount of money that the bank has left after paying all of its expenses. The bank may be interested in this variable to see how its profits have changed over time.
  • Interest income: This is the money that the bank earns from lending money to customers. The bank may be interested in this variable to see how its interest income has changed over time.
  • Non-interest income: This is the money that the bank earns from other sources, such as fees and commissions. The bank may be interested in this variable to see how its non-interest income has changed over time.

Here is an example of a frequency table, bar chart, and pie chart that can be created using these three variables:

Frequency table

Net income Frequency
$100 million or more 2
$50-100 million 1
$25-50 million 1
$10-25 million 1
$0-10 million 1

Bar chart

[Bar chart showing the frequency of net income for the past 5 years]

Pie chart

[Pie chart showing the percentage of net income from each category for the past 5 years]

These tables and charts can help the bank to visualize the trends in its income over the past 5 years. The bank can then use this information to identify areas where it can improve its performance.

For example, the bank may see that its net income has been declining in recent years. This could be due to a number of factors, such as increasing competition, rising interest rates, or a decrease in lending activity. The bank can use this information to develop strategies to improve its profitability.

The bank can also use the tables and charts to compare its performance to other banks. This can help the bank to identify areas where it is doing well and areas where it can improve.

Overall, the tables and charts can be a valuable tool for the bank to use to understand its financial performance and identify areas where it can improve.

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