Microsoft Office Tutorials and References
In Depth Information
What’s in the Future: Using FORECAST, TREND, and GROWTH to Make Predictions
Now you can work through an example of using FORECAST to make a
prediction. Imagine that you’re the sales manager at a large corporation. You’ve
noticed that the yearly sales results for each of your salespeople is related
to the number of years of experience each has. You’ve hired a new salesman
with 16 years of experience. How much in sales can you expect this person
Figure 11-5 shows the existing data for salespeople — their years of experience
and annual sales last year. This worksheet also contains a scatter chart of the
data to show that it’s linear. It’s clear that the data points fall fairly well along
a straight line. Follow along to create the prediction:
1. In a blank cell, enter =FORECAST( to start the function entry.
The blank cell is C24 in Figure 11-5.
2. Enter 16, the X value that you want a prediction for.
3. Enter a comma ( ,).
4. Drag the mouse over the Y range, or enter the cell range.
C3:C17 is the cell range in the example.
5. Enter a comma ( ,).
6. Drag the mouse over the X range, or enter the cell range.
B3:B17 is the cell range in the example.
7. Enter a ), and press Enter to complete the formula.