One thing wrong is the shadows of the the background & lifebar. The shadow is covering them up you should get PS to do that.
I can't tell why Kano is facing a different direction then the direction that he should if Ermac did such a fatality.
I just gotta say this... WTF IS UP WITH ERMAC'S ARM??? That thing looks like its been deformed or something. It honestly scares me. Other than that, I think its half decent. 6/10
It looks like the sprites don't interact. I think it would be difficult for Ermac to just lift one arm and do such havoc on Kano that simple. Some green aura effects on him would have done. That's the only thing I would change.
2 things this is old and ermac is using alot of his "soul" energy and explodes Kano and the reason Kano is in that pose is to make it show all the limbs being ripped off.