1 Analyzing Data Using Goal Seek & Solver Applications of Spreadsheets

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Analyzing Data Using Analyzing Data Using Goal Seek & SolverGoal Seek & Solver

Applications of SpreadsheetsApplications of Spreadsheets

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What-If Analysis in ReverseWhat-If Analysis in Reverse

►Microsoft Office Excel 2003 provides Microsoft Office Excel 2003 provides several powerful utilities for several powerful utilities for performing performing what-if analysiswhat-if analysis. .

►Now we want to look at the what-if Now we want to look at the what-if process from the opposite perspectiveprocess from the opposite perspective finding the value of one or more input finding the value of one or more input

cells that produces a desired result in a cells that produces a desired result in a formula cell. formula cell.

Goal SeekingGoal Seeking SolverSolver

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What-If Analysis in ReverseWhat-If Analysis in Reverse

►Microsoft Office Excel 2003 provides Microsoft Office Excel 2003 provides several powerful utilities for several powerful utilities for performing performing what-if analysis in reverse:what-if analysis in reverse: Goal SeekingGoal Seeking SolverSolver

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Performing What-If Analysis with Performing What-If Analysis with Goal SeekingGoal Seeking

►Determines the value that you need to Determines the value that you need to enter in a single input cell to produce a enter in a single input cell to produce a result that you want in a dependent result that you want in a dependent (formula) cell.(formula) cell. Select Tools Select Tools Goal Seek Goal Seek Excel displays the Goal Seek dialog box.Excel displays the Goal Seek dialog box. Enter the information into the dialog box by Enter the information into the dialog box by

typing the cell references or by pointing with typing the cell references or by pointing with the mouse.the mouse.

Click OK to begin the goal-seeking process.Click OK to begin the goal-seeking process.

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Excel displays the Goal Seek Status box Excel displays the Goal Seek Status box which shows the target value and the which shows the target value and the value that Excel calculated.value that Excel calculated.

Click OK to replace the original value with Click OK to replace the original value with the found value, or click cancel to restore the found value, or click cancel to restore your worksheet to its original form (before your worksheet to its original form (before opening Goal Seek).opening Goal Seek).

When Excel can’t find a value that When Excel can’t find a value that produces your desired result, the Goal produces your desired result, the Goal Seek Status box informs you of that fact.Seek Status box informs you of that fact.

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Using Goal SeekingUsing Goal SeekingEX0910

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Entering Arguments in the Goal Entering Arguments in the Goal Seek Dialog BoxSeek Dialog Box

The cell containing the outcome

The target value for the outcome cell

The input cell containing the value that Excel 2003 may change to achieve the outcome or target value

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Goal Seek Status Dialog BoxGoal Seek Status Dialog Box

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Finding Answers Using Goal Finding Answers Using Goal SeekSeek

Enter the cell containing outcome formula

Enter the target value for the outcome cell

Enter the input cell that Excel may change to achieve the target value

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► When Excel can’t find a solution, your options When Excel can’t find a solution, your options include:include: Changing the current value of the By Changing Cell Changing the current value of the By Changing Cell

box in the Goal Seek dialog box to a value that is box in the Goal Seek dialog box to a value that is closer to the solution, and reissue the command.closer to the solution, and reissue the command.

Adjust the Maximum iterations setting in the Options Adjust the Maximum iterations setting in the Options dialog box (Tools dialog box (Tools Options Options Calculations tab). Calculations tab). This will make Excel try more possible solutions.This will make Excel try more possible solutions.

Double-check your logic and make sure the formula Double-check your logic and make sure the formula does depend on the specified changing cell.does depend on the specified changing cell.

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Finding an Answer using Graphical Finding an Answer using Graphical Goal SeekingGoal Seeking

Outcome or target value

Input value required to achieve the outcome or target value

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Displaying the GoalSeek ChartDisplaying the GoalSeek Chart

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Preparing to Size a Data Column in Preparing to Size a Data Column in an Embedded Chartan Embedded Chart

Markers appear when you correctly select a single column

Position the mouse pointed over the column marker

The Range Finder selects the cell ranges referenced by the embedded chart

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Performing What-If Analysis with Performing What-If Analysis with SolverSolver

►Determines the values that you need Determines the values that you need to enter in multiple input cells to to enter in multiple input cells to produce a result that you want.produce a result that you want. Can specify certain constraints to the Can specify certain constraints to the

problemproblem Significantly better problem-solving ability Significantly better problem-solving ability

gains.gains.

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►Determines the values that you need to Determines the values that you need to enter in multiple input cells to produce a enter in multiple input cells to produce a result that you want.result that you want. Can specify multiple adjustable cells.Can specify multiple adjustable cells. Can specify constraints on the values that Can specify constraints on the values that

the adjustable cells can have.the adjustable cells can have. Can generate a solution that maximizes or Can generate a solution that maximizes or

minimizes a particular worksheet cell.minimizes a particular worksheet cell. Can generate multiple solutions to problems.Can generate multiple solutions to problems.

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►Compared to Goal Seek;Compared to Goal Seek; significantly better problem-solving ability significantly better problem-solving ability significantly more complicatedsignificantly more complicated Might be the most difficult (frustrating) Might be the most difficult (frustrating)

features in Excel.features in Excel.

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Add-Ins Dialog Box with the Solver Add-Ins Dialog Box with the Solver Add-in SelectedAdd-in Selected

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Solver Parameter Dialog BoxSolver Parameter Dialog Box

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Add Constraints Dialog BoxAdd Constraints Dialog Box

Select a direct or indirect reference to one of the input cells

Select a comparison operator (>=, =, <=), int (integer), or bin (binary)

Enter a constant value or a cell reference containing the constraint

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Adding Constraints to SolverAdding Constraints to Solver

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Solver Parameters Dialog BoxSolver Parameters Dialog Box

Constraints are added using absolute cell references

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Solver Results Dialog BoxSolver Results Dialog Box

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Enforcing Results as Integer Enforcing Results as Integer ValuesValues

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Viewing an Answer Report Created Viewing an Answer Report Created by Solverby Solver

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Successful Goal Seek OperationSuccessful Goal Seek Operation

Documents

1 Analyzing Data Using Goal Seek & Solver Applications of Spreadsheets