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Simple yet strong analysis 💪 It really does feel like in FP&A 50% is explaining what happened and 50% is the “so what?” that the CEO and other leaders care about.
Nov 5, 2023·edited Nov 5, 2023Liked by Drew Murphy
Hi there, can you check this statement: Price compares the price paid for each product in the current year vs the prior year and flexes for the unit change in each product.
You are saying: flexes for the unit change in each product
However, you are using column E, current year volume
Hey there,
You are right. To calculate price we use the change in price times current volume (aka column E).
I can see how the phrase "flexes for the unit change" can be confusing, we'll take at the wording.
Thanks for the comment and interest in the topic!
Drew
Simple yet strong analysis 💪 It really does feel like in FP&A 50% is explaining what happened and 50% is the “so what?” that the CEO and other leaders care about.
Hi there, can you check this statement: Price compares the price paid for each product in the current year vs the prior year and flexes for the unit change in each product.
You are saying: flexes for the unit change in each product
However, you are using column E, current year volume
Thanks!