CS101 Introduction to Computing

Chapter 16
Spreadsheets

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 Today’s Lecture:
Spreadsheets
• Second among the four lectures that we plan
to have on productivity software

• This 2nd lecture is on spreadsheets

• We’ll learn about why we are interested in

spreadsheets

• We’ll discuss the several common functions

provided by popular spreadsheet SW
programs 2
3
 Business Plan for a New
Software Development Company

The information provided in this business plan is confidential.

Please do not disclose it without checking with me first. Thanks.
4
 Sales Forecast
50

40
Million US$

30

20

10

0
1 2 3 4 5
5
Year of Operation 34
A ll c u r re n c y fig u re s a re in th o u sa n d s o f U S D o lla rs
1st Y ear 2nd Y ear 3 rd Y e a r 4 th Y e a r 5 th Y e a r
B illin g S c h e d u le
Lahor e 20x42x0.5 420 30x96 2,880 40x169 6,760 50x317 15,850 60x490 29,400
D ubai 60x15x0.5 450 70x35 2,450 80x45 3,600 90x50 4,500
Islamabad 40x25x0.5 700 50x60 3,000 60x100 6,000
K ar achi 50x45x0.5 1,125 60x100 6,000
T o ta l 420 3 ,3 3 0 9 ,9 1 0 2 3 ,5 7 5 4 5 ,9 0 0
C o sts fo r th e D e v e lo p m e n t W o rk fo rc e
Lahor e 15x42x0.8 504 17x96 1,632 20x169 3,380 24x315 7,608 28x490 13,720
D ubai 48x15x0.8 576 57x35 1,995 66x45 2,970 78x50 3,900
Islamabad 20x35x0.8 560 24x60 1,440 28x100 2,800
K ar achi 24x45x0.8 864 28x100 2,800
T o ta l 504 2 ,2 0 8 5 ,9 3 5 1 2 ,8 8 2 2 3 ,2 2 0
C o sts fo r th e S a le s a n d S u p p o r t W o r k fo rc e
Singap or e 120x2 240 110x3 390 110x4 440 110x5 550 125x5 625
W ash., D C 200x3 600 180x10 1,800 180x20 3,600 180x30 5,400 190x40 7,600
C hicag o 210x2 420 200x3 630 200x4 800 200x5 1,000
T o ta l 840 2 ,6 1 0 4 ,6 7 0 6 ,7 5 0 9 ,2 2 5
C o sts fo r th e C o r p o r a te O ffic e
C or por ate 40x3 120 42x4 168 44x6 264 46x8 368 48x10 480
T o ta l 120 168 264 368 480
P ro fit (1 ,0 4 4 ) (1 ,6 5 6 ) (95 9 ) 3 ,5 7 5 1 2 ,9 7 5
P/S -249% -50% -10% 15% 28%
N P V D is c o u n t R a te 17%
N P V @ th a t D is c o u n t R a te 5 ,1 2 5
40
IR R 68%
 Spreadsheets
• Electronic replacement for ledgers

• Used for automating engineering, scientific, but

in majority of cases, business calculations
• A spreadsheet - VisiCalc - was the first popular
application on PC’s.
• It helped in popularizing PC’s by making the
task of financial-forecasting much simpler,
allowing individuals to do forecasts which
previously were performed by a whole team of
financial wizard 7
 What Can They Do? (1)
• Can perform calculations repeatedly,
accurately, rapidly

• Can handle a large number of parameters,

variables

• Make it easy to analyze what-if scenarios for

determining changes in forecasts w.r.t. change
in parameters

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 What Can They Do? (2)
• Are easy to interface with other productivity SW
packages
• Easy to store, recall, modify

• Make it is easy to produce graphs:

– Graphs reveal the knowledge contained in data with
greater clarity and ease as compared with data
arranged in rows and columns

– Modern spreadsheet programs can be used to

display data in a variety of graphical formats
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 The Structure of A Spreadsheet
• Collection of cells arranged in rows and
columns

• Each cell can contain one of the following:

– Numbers
– Text
– Formulas

• These cells display either the number or text

that was entered in them or the value that is
found by executing the formula 10
 Connecting Two Cells

=A1 + 4

And this
Let’s call one, A2
this cell A1

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 This is the
current cell

The address of
the current cell is Contents of the
displayed as a current cell are
letter(column)- displayed here
12
number(row) pair
What-If Analysis

13
All currency figures are in thousands of US Dollars
1st Year 2nd Year 3rd Year 4th Year 5th Year
Billing Schedule
Lahore 20x42x0.5 420 30x96 2,880 40x169 6,760 50x317 15,850 60x490 29,400
Dubai 60x15x0.5 450 70x35 2,450 80x45 3,600 90x50 4,500
Islamabad 40x25x0.5 700 50x60 3,000 60x100 6,000
Karachi 50x45x0.5 1,125 60x100 6,000
Total 420 3,330 9,910 23,575 45,900
Costs for the Development Workforce
Lahore 15x42x0.8 504 17x96 1,632 20x169 3,380 24x315 7,608 28x490 13,720
Dubai 48x15x0.8 576 57x35 1,995 66x45 2,970 78x50 3,900
Islamabad 20x35x0.8 560 24x60 1,440 28x100 2,800
Karachi 24x45x0.8 864 28x100 2,800
Total 504 2,208 5,935 12,882 23,220
Costs for the Sales and Support Workforce
Singapore 120x2 240 110x3 390 110x4 440 110x5 550 125x5 625
Wash., DC 200x3 600 180x10 1,800 180x20 3,600 180x30 5,400 190x40 7,600
Chicago 210x2 420 200x3 630 200x4 800 200x5 1,000
Total 840 2,610 4,670 6,750 9,225
Costs for the Corporate Office
Corporate 40x3 120 42x4 168 44x6 264 46x8 368 48x10 480
Total 120 168 264 368 480
Profit (1,044) (1,656) (959) 3,575 12,975
P/S -249% -50% -10% 15% 28%
NPV Discount Rate 17%
NPV @ that Discount Rate 5,125
IRR 68%
a graphic worth
a thousand acres ...

15
 Distribution of Expenses Required
for Running a Call Center in the US
Software 3.6%
Hardware 9.2%
Telecom Charges 9.3%
Salary & Benefits 57.2%
Recruitment & Training 4.6%
Building Rent 4.4%
Other 11.7%
100.0%
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Pie charts work well for comparing several
Bar 60.0%

are greatdata
discrete for categories with one another or
showing a trend over several time increments
showing 40.0%

parts of a
whole that
20.0%
60.0%

are 0.0%
generally
40.0%

expressed
in
20.0%

percentages
Line
. Theycharts
0.0% work are also work well for displaying
best for
data a over time. They’re better than bar
trends
small if there are a large number of data points
charts
number
or if moreofthan one congruent trends are being
categories
compared 17
Goal
Seek
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 Goal Seek
Goal Seek in Excel
When you use the Goal Seek command, Excel changes the value in one
cell until the value in a second cell reaches a number that you desire.
For instance, if you had a spreadsheet that calculated profit for the
Bhola eService from a variety of inputs, including employee
numbers, expenses, products sold, price of products, you might use
goal seek to define your break-even price of products. You would tell
the computer to change price of products until Profit was zero
(break-even), and you would do that using Tools, Goal Seek.
To use Goal Seek, go to the Tools command. If Goal seek . . . is not an
option, you must first go to Add-ins (also under Tools), and select
Goal Seek. Once Goal Seek is loaded, choose it under Tools.
 

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In Goal Seek there will be three boxes to fill in.
1. The first says "Set cell." Enter the cell address (or click on the cell) of
the cell whose value you want to fix or set to a specific number (i.e.
Profit cell). This cell must contain a formula or function. Otherwise it
will not be linked to the cell you will be changing to obtain zero profit.
2. The second says "To value." Enter the appropriate value you wish to
see in that "Set" cell (i.e. 0 if you want the Profit to come out zero).
3. The third says "By changing cell." Enter or click on the cell you want
Goal Seek to change to obtain the zero profit. (i.e. milk price). This
cell must not be a formula or function. Then click "okay."
At this point Goal Seek will show you the answer. For instance, Profit will
now be zero and the Milk Price cell will have changed to another
price (maybe 11.86) to make Profit=0. You can accept the change or
you can cancel the Goal Seek and return to the previous numbers.
Often you just want to take note of the new numbers and cancel. If
you accept and change your mind, click Undo.
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Things that you must remember!!
• Make sure the "Set Cell" cell is a formula or function or cell
reference.
• Make sure you have set that sell to a reasonable number.
• Make sure the "By Changing Cell" cell is a number or blank, and
not a formula, function or cell reference like =C5.
• Make sure there is a link by formulas between the two cells you
entered in the Goal Seek. However complicated the link might
be, they must be related for the Set cell to be changed by the
Change cell.
• Finally, make sure your formula in the "Set Cell" cell is correct
(as well as all others).

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Simple Example
Assume the following cells. We will use Goal Seek to find a number
to make the sum=150.
A2 = 25
A3 = 40
A4 = SUM(A2:A3) which is showing 65
In Goal Seek:
• Set Cell: click on A4
• To Value: enter 150
• By Changing Cell: click on A3
The sum in A4 should now be 150, and A3 should have become
125 for that to happen.

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•We can also use Goal seek functionality to solve
mathematical equation.

f(x) = x + 2x + 1 = 0
2

f(x) = x + 5x + 9x + x - 5 = 0
4 3 2

Let us now try to solve the first equation through goal seek

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Solving Equation: f(x) = x2 + 2x + 1 = 0

• Write the formula in a cell e.g. A2

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• Select the goal seek option

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• In the ‘set cell’ input field write the cell number
that needs to be changed I.e. a2
• In the ‘to value’ field enter the value we want the
cell a2 to have i.e. 0
• In the ‘by changing cell’ field enter the number of
the cell we used as a variable I.e. a1
• On pressing the ok button the following box
appear

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• This shows the that the target was to
have 0 value but excel could calculate
for 0.0004 value
• On pressing Ok we will get->
• Here the value of a1 is
–0.97 which is almost equal
to -1
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• Hence to get the value of the given
function as 0 the value of x should be 1

• Which is the solution of the equation

f(x) = x2 + 2x + 1 = 0

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 links
• Following are some urls for the goal
seek ;
– http://www.oootraining.com/QwikAndDirty/
QwikAndDirtyExcelWeb/DataAnalysis/Usin
g_Goal_Seek/Using_Goal_Seek.htm

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 The Best Feature: Undo
• Allows you to recover from your mistakes

• Allows you to experiment without risk

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 Getting On-Screen Help
• All spreadsheets generally have some form of
built-in help mechanism

• To me, it seems like that many of those help-

systems are designed to be “not-very-helpful”:
they make finding answers to simple questions
quite difficult

• Nevertheless, do try them when you are

searching for answers
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I’ll now demonstrate the use of
spreadsheets with the help of
several examples
• Formulas
• Sorting
• Conditional formatting
• Graphs
• Goal seek

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Document-Centered Computing

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 Assignment # 2
Find minimum and maximum temperature readings
taken on 21st November ‘17 in 37 cities from Internet
– Calculate the average maximum and minimum
temperatures and display them in B38 and C38
– Sort the cities in ascending order w.r.t. the
minimum temperature
– Take the sorted list & draw a bar-graph displaying
each city (x-axis) along with the min. temp. (y-axis)
– Display a count of cities having minimum
temperatures between 50 and 60 in B39
– Display the average minimum temperature of the
10 hottest cities in B40 34
 Today’s Lecture was the …
• Second among the four lectures that we plan
to have on productivity software

• This 2nd lecture was on spreadsheets

• We learnt about what we mean by

spreadsheets

• We discussed the usage of various functions

provided by common spreadsheets
35