From the course: Excel 2016 Essential Training

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Using Goal Seek

Using Goal Seek

From the course: Excel 2016 Essential Training

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Using Goal Seek

- If you're using an Excel formula and it gives you an answer that you'd rather not have you can turn to a feature called Goal Seek. In fact, we're on a sheet called Goal Seek in the workbook 13 - DataAnalysis. There's a formula in cell J4, it's using the function called PMT. It calculates the monthly payback on a loan. In the scenario here, we're looking at a rate of 3.5%, payoff over 60 months, we're borrowing $24,000. What will we pay each month? The payment function takes the rate, divide it by 12, the term in months, and then the principle. If you want to see the answer as a positive number, put a minus in front of it, otherwise it will appear as a negative. $437. If we borrow $24000, pay it off over five years, that's 60 months, interest rate 3.5%. Let's say we've been thinking about this for a while and all along we were planning on spending $500 a month. We want this number to be 500. How can we change it? Well, we can change the rate, the term, the principle. But, what do we…

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