Microsoft Office Tutorials and References
In Depth Information
Exhibit 9.12
Imposition of integer decision variables
entry of data for the repeated calculation of a spreadsheet. It is often the case that
we are interested in asking repeated what-if questions of a spreadsheet model. The
questions are generally of the form—what if we change the inputs to our model to
this , then to this , then to this ,etc.
You will recall that we dealt with this question when we introduced Data Tables.
Data Tables display the value of a particular calculation as one or two inputs are
varied. Although this is a powerful tool, what if we have many more than two inputs
to vary? We may need to construct many Data Tables, but the comparison between
tables will be difficult at best. Scenarios permit you to determine the changes in a
calculated value while varying as many as 32 inputs and each different set of input
values will represent a scenario.
9.4.1 Example 1—Mortgage Interest Calculations
After many years of hard work, Padcha Chakravarty has experienced great success
in her import-export business. So much so that she is considering the purchase of
a yacht that she can claim as a second home. It meets the United States Internal
Revenue Service criteria for a second home by being capable of providing “sleep-
ing, cooking, and toilet facilities”, and it is a very convenient way to reduce her
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