DAY 10:
MICROSOFT EXCEL (CH – 8)
Naman Kohli
naman.kohli@mail.wvu.edu
September 19, 2013
1
UPCOMING DEADLINES
• Homework 2 – 20th Sep
• Homework 3 – 27th Sep
• EXAM – 1 - 1st Oct
• MyITLab Lesson C – 21st October
2
ATTENDANCE RECORDS
• Database consisting of your logins.
• Will only filter those which have been
recorded in class.
• From today, if you have recorded outside of
class, do it again otherwise will not be taken
into the bonus points.
• Review your attendance (COURSE TOOLS)
and send me the times and dates for when
there was an error before today – 19th
September. Subject – attendance56
3
HOMEWORK 2
• Read Carefully and see the results for
each action if that is what has been asked
in the questions.
• Trendlines
• Tables
• Chart
• Sheet Referencing
• Analysis Questions
4
TODAY – WHAT IF ANALYSIS ?
• Data Table
• Goal Seek
• Scenario Manager
WHAT-IF ANALYSIS
• Three important tools which enable to perform
“what-if” analysis
• What-if analysis enables you to see how changes
in variables affect calculated results
• A variable is a value that can be changed or to
see how those changes impact other values
• An independent variable is one that can be
controlled directly, such as the price of an item
• A dependent variable is one that may vary such
as the number of items sold
CREATE A ONE-VARIABLE DATA TABLE
• A one-variable data table is a data-analysis
tool that provides various results based on
changing one variable
• Allows you to analyze different values of one
variable to compare one or more calculated
results that are affected by the variable
• Two important elements:
– Input cells contain values to be modified for
what-if analysis
– Result cells contain values to be modified
CREATE A ONE-VARIABLE DATA TABLE
EXAMPLE
• Open Exercise-Day10.xlsx
• Calculate the Payment Amount using
„PMT‟ function
• And calculate total payment=B6*B4
• Total interest is =B7-B1
CREATE A ONE-VARIABLE DATA
TABLE
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Copy contents of cells A6:A8 to B12:D14
In B12 type =B6
In C12 type =B7
In D12 type =B8
In cell A13 and A14 type .06 and .065
AutoFill cells through A19
Format cells D10:I10 as percentage with 2
decimal places
CREATE A ONE-VARIABLE DATA
TABLE(CONTD)
• Create a one variable data table by
selecting cells A12:D19
• Select column input as cell B2
• Now table shows how changes in the
interest rate for loan affect the monthly
payment, total payments and total interest
TWO VARIABLE DATA TABLE
• A Two Variable data table is similar to a
one variable data table, except now we
can manipulate two different variables.
So, interest rate changes and the loan
amount of the car changes.
CREATE A TWO-VARIABLE DATA
TABLE
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Copy A11:A19 to G11:G19
H12 = 20000, I12 = 21000
Drag through H12 to L12.
Select G12:L19 and insert a data table
Row input cell:B1
Column input cell:B2
Now this table shows how changes in the
interest rate and the loan amount affect the
monthly payment.
SCENARIO MANAGER
• Scenario Manager is designed to work
with several sets of assumptions called as
scenarios.
• These enable to quickly compare the
results of multiple scenarios.
• Each scenario represents different sets of
what if conditions to be considered in
assessing the outcome of the spreadsheet
models
SCENARIOS
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Click Add to Add in the scenario
The scenario name will be $30k car
We will perform this by changing cell B3
Hit OK
Specify cell B3 to have a value of 30000
Hit OK
Hit Close
Change cell B3 to 25000 and cell B1 to $25k car
Click on cell B3, then click on Data – What if
analysis – Scenario Manager
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SCENARIOS
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Click Add to Add in the scenario
The scenario name will be $25k car
We will perform this by changing cell B3
Hit OK
Specify cell B3 to have a value of 30000
Hit OK
Hit Close
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SCENARIOS
• We could present our results as a Summary if we
wanted to.
• Click on Data – What if Analysis – Scenario
Manager
• Click Summary
• Ensure Result Cells is B7
• Hit OK
• Now we know what our monthly payments would be
for a $25k and a $30k car.
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GOAL SEEK
• Is a method of finding the solution to
problems
“Can I afford this”
• Enables you to work backwards to solve a
problem
• Set the end result to determine the input to
produce the result.
• Adv: Enables you to change your goals
and parameters easily
GOAL SEEK( CONTD.)
• Example:
Want to buy a car, thinking of a monthly
payment of $200
Goal seek is used to determine the most you
can borrow to keep that monthly payment.
• Set Cell-cell to be optimized
• To Value-result you want to achieve
• By Changing Cell-value of variable to be
adjusted
GOAL SEEK
Task 1:
If you made $1000 in payments each month,
what car could you afford?
Click on Cell B6
Go to Data – What if analysis – Goal Seek
Set cell B6 to 1000 by changing cell B1
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GOAL SEEK
Task 2:
How quickly could you pay off the loan if you
made $500 in payments for your $30,000 car.
Click on Cell B1 make sure it says 30000
Click on Cell B6
Go to Data – What if analysis – Goal Seek
Set cell B6 to 500 by changing cell B4
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