Business & Finance - Financial markets Business 508 Managerial Analytics ( Excel Spread Sheet Homework)

Homework #5 (What if analysis)

What-If Analysis in Excel allows you to try out different values (scenarios) for formulas.

Assume you own a book store and have 100 books in storage. You sell a certain % for the highest price of $50 and a certain % for the lower price of $20. If you sell 60% for the highest price (cell D10 calculates a total profit of 60 * $50 + 40 * $20 = $3800). But what if you sell 70% for the highest price? And what if you sell 80% for the highest price? Or 90%, or even 100%? Each different percentage is a different scenario. Please use a spreadsheet to create these what if analysis scenarios. The option in excel (Scenario Manager) will best help you solve the scenarios.