1. CSCI-235 Micro-Computers in Science Microsoft Excel 2002 Chapter 3 Spreadsheets in Decision Making: What If?

2. Exploring Microsoft Excel 2002 Chapter 3 2 Analysis of a Car Loan  Can I afford it?  How do I calculate for: rebates down payments interest rates the number of payments

3. Exploring Microsoft Excel 2002 Chapter 3 3 Analysis of a Car Loan  Set up a worksheet template with initial conditions  Use a PMT function which requires interest rate/period, number of periods, and amount of loan Payment amounts and the number of payments are usually expressed in months, while interest rates are annual rates. Divide the interest rate by 12 to come up with a monthly rate The amount of the loan (present value) should be expressed as a negative number.

4. Exploring Microsoft Excel 2002 Chapter 3 4 How Much Money Will I Have at Retirement?  The Future Value (FV) function to return the future value of a series of payments  Use the FV function which requires the expected rate of return, the number of periods, and the investment each period.  The Moral of the Story: Start planning for your retirement now!! The sports car can wait!!!!

5. Exploring Microsoft Excel 2002 Chapter 3 5 Inserting a Function  Use the Insert Function command from the Insert menu  Use the list box to select the name of the function functions categorized by function  Let the Wizard help you enter the arguments

6. Exploring Microsoft Excel 2002 Chapter 3 6 Isolate Your Assumptions  Enter your assumptions (the arguments needed for the function) into cells and use those cells for your arguments For example, in the PMT function, enter the loan amount, number of payments, and interest rate into cells, then use those cells in the PMT function  Change the values in those cells to test different scenarios Easier than editing the formula when you want to change on or more of your variables

7. Exploring Microsoft Excel 2002 Chapter 3 7 Setting up Goal Seek  Establish PMT interest rate term down payment  Use Goal Seek change result by changing one variable you can only change one variable

8. Exploring Microsoft Excel 2002 Chapter 3 8 Getting the most from Excel  Relative versus absolute addressing in a worksheet Knowing the difference and when to use each when copying makes setting up your worksheet more efficient and more accurate  Mixed references Either the row or the column is absolute; the other is relative  Don’t forget to isolate your assumptions!!

9. Exploring Microsoft Excel 2002 Chapter 3 9 Using Functions in Excel  Statistical Functions: MAX,MIN, AVERAGE, COUNT and COUNTA Use functions instead of arithmetic expressions  IF function enhances decision making allows for different results based on different conditions  VLOOKUP(vertical lookup) Function assigns a value to a cell based on a numeric value in another cell

10. Exploring Microsoft Excel 2002 Chapter 3 10 The IF function  Allows for different results, based on a condition for example, if you work over forty hours in a week, you will receive overtime pay  Requires three arguments: a condition, which Excel must be able to evaluate as true or false a value if true a value if false  The value if true and value if false may contain additional (nested) IF functions for more complex decisions.

11. Exploring Microsoft Excel 2002 Chapter 3 11 The VLOOKUP function  Allows Excel to look up a value in a table and return a related value for example, Excel can look up your average in this class and return your grade  Requires three arguments: the numeric value (or cell) to look up the range of the table the column number containing the value you want to return

12. Exploring Microsoft Excel 2002 Chapter 3 12 Managing Large Worksheets (1 of 2)  Scrolling causes the screen to move horizontally or vertically as you change the active cell  Freezing Panes allows row and column headings to be seen while scrolling  AutoFill capability enter series into adjacent cells  Hiding rows and columns makes rows and columns invisible on the monitor or when printed

13. Exploring Microsoft Excel 2002 Chapter 3 13 Managing Large Worksheets (2 of 2)  Page Preview command (View menu) lets you see where the page breaks are  Page Setup command (File menu) lets you change how the sheet prints Change from portrait (8 ½ x 11) to landscape (11 x 8 ½) Change margins Scale the worksheet to print on one sheet  AutoFilter command lets you display only rows that meet certain criteria