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What-If Analysis in Excel - Step by Step Tutorial

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28 views7 pages

What-If Analysis in Excel - Step by Step Tutorial

Uploaded by

adel.briggs34
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Excel Easy 

#1 Excel tutorial on the net

What-If Analysis in Excel


What-If Analysis in Excel allows you to try out different values (scenarios) for
formulas. The following example helps you master what-if analysis quickly and
easily.
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.

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Improve profits,
If you sell 60% for the highest price, cell D10 calculates a total profit of 60 * $50 +
productivity,
and40public
* $20 = $3800.
image
4. Type a name (60% highest), select cell C4 (% sold for the highest price) for the
Changing cells and click on OK. 

5. Enter the corresponding value 0.6 and click on OK again.

6. Next, add 4 other scenarios (70%, 80%, 90% and 100%).


Finally, your Scenario Manager should be consistent with the picture below:

Note: to see the result of a scenario, select the scenario and click on the Show
button. Excel will change the value of cell C4 accordingly for you to see the
corresponding result on the sheet.

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✦ Scenario Summary
To easily compare the results of these scenarios, execute the following steps.
1. Click the Summary button in the Scenario Manager.
2. Next, select cell D10 (total profit) for the result cell and click on OK.

Result:

Conclusion: if you sell 70% for the highest price, you obtain a total profit of $4100,
if you sell 80% for the highest price, you obtain a total profit of $4400, etc. That's
how easy what-if analysis in Excel can be.
✦ Goal Seek
What if you want to know how many books you need to sell for the highest price,
to obtain a total profit of exactly $4700? You can use Excel's Goal Seek feature to
find the answer.
1. On the Data tab, in the Forecast group, click What-If Analysis.

2. Click Goal Seek.

The Goal Seek dialog box appears.


3. Select cell D10.
4. Click in the 'To value' box and type 4700. 

5. Click in the 'By changing cell' box and select cell C4.
6. Click OK.

Result: you need to sell 90% of the books for the highest price to obtain a total
profit of exactly $4700.

Note: visit our page about Goal Seek for more examples and tips.

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What-If Analysis
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March 2025 Suggestions: FILTER function • Quick Analysis • Wildcards • Loop (VBA) • Split
Cells

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