Question
Scenario: You are a Data Scientist working for a consulting firm. One of your colleagues from the Auditing department has asked you to help them
Scenario: You are a Data Scientist working for a consulting firm. One of your
colleagues from the Auditing department has asked you to help them assess the
financial statement of organization X.
You have been supplied with two vectors of data: monthly revenue and monthly
expenses for the financial year in question.
revenue in 12 months (14574.49, 7606.46, 8611.41, 9175.41, 8058.65, 8105.44, 11496.28, 9766.09,
10305.32, 14379.96, 10713.97, 15433.50)
expenses in 12 months (12051.82, 5695.07, 12319.20, 12089.72, 8658.57, 840.20, 3285.73, 5821.12,
6976.93, 16618.61, 10054.37, 3803.96)
Your task is to calculate the following
financial metrics:
- profit for each month
- profit after tax for each month (the tax rate is 30%)
- profit margin for each month - equals to profit a after tax divided by revenue
- good months - where the profit after tax was greater than the mean for the year
- bad months - where the profit after tax was less than the mean for the year
- the best month - where the profit after tax was max for the year
- the worst month - where the profit after tax was min for the year
All results need to be presented as vectors. Results for dollar values need to be calculated with $0.01
precision, but need to be presented in Units of $1,000 (i.e. 1k) with no decimal points. Results for the profit
margin ratio need to be presented in units of % with no decimal points. Note: You colleague has warned
you that it is okay for tax for any given month to be negative (in accounting terms, negative tax translates
into a deferred tax asset).
HINT #1
round() mean() max() min()
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started