Join Curt Frye for an in-depth discussion in this video Crafting a scenario, part of Learning Excel What-If Analysis.
…Excel is a wonderfully flexible and powerful tool.…For example, you can create models that let you…modify your formula's inputs to estimate sales revenue and costs.…You can also model systems that use random events such…as product demand to estimate resource utilization and other costs.…In this movie, I'll give you an overview of one way…to set up a worksheet to run a Monte Carlo simulation.…I will use the Monte Carlo setup workbook,…which you can find in the chapter 4 folder of your exercise files archive.…The items in the workbook's worksheet are divided into several different sections.…
The items in the top left corner of the worksheet, in the…section that I've named Commemorative Items,…have different elements that affect production.…So you have the number of items to be produced, a random number which…we'll use in a later movie, demand, which is the number of items that…the public wants to buy, cost per unit, next is…the cost to make each unit, then the price for which…you're selling the item and the amount it costs you…
- Explain how to create a scenario in Excel.
- Identify the two input values that should be used to create a two variable data table.
- Recall what the Excel feature Goal Seek is used for.
- Recognize the three things that must be separated from one another to make reading a worksheet with multiple units easier.
- Describe the tools that Excel provides to manipulate data.
- Break down the steps required to recalculate a worksheet's formulas.