James Howard
A Mathematician, a Different Kind of Mathematician, and a Statistician

Waterfall Charts in R

The waterfall chart was originally introduced to the public by Ethan Rasiel in The McKinsey Way as a way of illustrating the value of simple and understandable charts. These charts show how a collection of data points contribute to a summary total. Two common applications for waterfall charts come from financial data. The first takes a collection of financial panel data, such as a balance sheet, and shows how each component, such as different asset and liability classes, chance the final balance. The second uses financial time series data, such as annual profit-and-loss data for an organization, to demonstrate how changes year over year contribute to a final total, such as a net asset balance.