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CMA Intermediate · Financial Management and Business Data Analytics · Data Presentation: Visualisation and Graphical Presentation

A finance team wants to show how the share of each of five expense heads contributes to a company's total expenditure for one year only. Which chart is the most suitable if the number of categories is small and the parts sum to 100%?

A pie chart is the most suitable choice. It displays how each of a few categories contributes to a whole of 100% at one point in time. Line charts show trends, scatter plots show relationships, and histograms show distributions, so they do not fit.

  1. APie chartCorrect
  2. BScatter plot
  3. CHistogram
  4. DLine chart with time on the x-axis

Explanation

A pie chart shows parts of a whole at a single point in time, and five categories summing to 100% suits it. A line chart is meant for trends over time, a scatter plot for the relationship between two numeric variables, and a histogram for the distribution of a continuous variable.

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