INTRODUCTION TO WHAT -If

ANALYSIS.

What is what if analysis

What if analysis is the process of changing the values in

cells to see how those changes will affect the outcome of
formulas on the worksheet. Three kinds of verteb analysis
tools come with Excel:
1.​ Scenarios, goal seek, and data tables. Scenarios and

data tables take sets of inputs and determine possible

results.

1.​Goal seek
. Introduction
Goal seek is a powerful build in function in Microsoft
Excel that helps you determine the input value
required to get the desired outcome result. It works by
wearing an input value until the desired result is
achieved. Go seek helps you find the input value
needed to achieve a specific goal.
Benefits of goal seek:

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●​ Helps find the input needed to achieve a specific
goal.
●​ Useful for reverse calculation problems.
●​ Chest time by automating the process of
determining input values.

Steps to create:

1.​Input your formula: In a Cell, create a form

that depends on an input value.
Example:= B1*B2 where B1 is the price and
B2 is the quantity.
2.​Go to the data tab: select “data” from the
ribbon.
3.​Choose goal seek: under the “what if
analysis” drop down, choose “Goal seek”.
4.Set goal seek parameters:
1.​ In the “set cell” box select the cell with the
formula.
1.​In the “two value” box type the target
result.
2.​In the buy changing cell box select the
input cell you want to adjust (e.g., B1).
4. Click Ok: excel will adjust the input
value to achieve the desired result.

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2. Scenario Manager
. Introduction
Scenario manager unables you to manage the view data
from different input values. A scenario is a set of values
that you enter in a worksheet to perform calculation. You
can easily create, edit, and format different groups of
values ( in form of scenarios), and name them as per your
choice.

Benefits of scenario manager

●​ Allows you to create multiple scenarios to compare
different possibilities.
●​ Easy to switch between scenarios to analyse different
outcomes.
●​ Helps with decision-making by showing the effects of
changes.

Steps to create:
1.​Select data range: highlight the range that
contains the variables you want to change.
2. Go to the data tab: select data “Data” from the
ribbon.
3.Choose scenario manager: under the “what- if”
analysis dropped down, “scenario manager”.
4. Add a new scenario: click “Add”

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 To create a new scenario.
●​ Name the scenario(e.g. “Best Case”,
“Scenario Manager”).
●​ Specify the changing cells( input sales that
vary in different scenarios).
●​Enter the value for each scenario.
5. View Scenarios: after creating multiples
scenarios, you can select any scenario to see
how the results change.

STEP 1

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STEP 2

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Solver
Introduction:
A solver is a piece of mathematical software, possibly in
the form of a stand alone computer program or as
software library that solves ametrical problem. A solver
problem takes problem descriptions in some sort of
generic form and calculates their solution.

Benefits of Solver:
●​ Optimisation: find the solution for problems (e.g.,
maximizing profit , minimising cost).

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 ●​ Flexible: handles linear, nonlinear and integer
problems.
●​Practical: used in Business, Finance, and
decision-making.

Steps to create solver model:

1.​Set up your data:(e.g., variables formulas)
2.​Unable solver (File>Options>Add-ins>Solver).
3.​Define the modal:
●​ Set objective: choose the cell to optimise(
maximize or minimise).
●​ By changing variable cells:
Select the cells solver will adjust.
4. Add constraints(e.g., limits on variables).
5. Run Alwar by clicking “solve” and reviewing results.
Example: maximize profit by adjusting price and quantity,
subject to constant like budget.

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●​ From here we need to set the target cell, where we want to have our value and
optimized value of which would be our fixed value. The cells we want to have changes
and setting up limited conditions which can be <, <= and >, >=.

●​ The target cell – the target cell is C9 which needs to have a value of 4000000

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●​ Optimised result- We will put the fixed value is 400000 by choosing the value of.
●​ Changing cells- The changing cells are C4:C7 which is the billing amount.
●​ Limited conditions – in limited conditions, select cells one by one, that is C4,C5, C6, C7,
Select the operator as >= and specify the value of 1000000

●​ When we press on to solve option, a pop up will appear showing the solver status. We
can stop or let it continue

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●​ When the solver finishes the solving, the Solving result will appear if the solving is done
successfully, then click on ok

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Macros
Introduction:
Macros are automated script that perform repetitive task
with a single click, and when combined with what if
analysis they, allow users to model different scenario
quickly and efficiently.

Benefits of macros:
●​ Time-saving: automate repetitive tasks.
●​ Accuracy: reduces manual errors.
●​ Scenario comparison: quickly tests different
outcomes.
●​ Efficiency: speeds up decision- making.
Steps to create:
1.​ Open Excel and enable the developer tab.
2.​ Set up input cells for data.
3.​ Record a macro to automatic task.
4.​ You scenario manager for different input
values..Run the Macro to see various results.

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●​ Here, through MACROS SELECTOR, we have selected the macros we want to execute
and currently we have Library 2 and saved is the Macros called ‘MMM’

●​ After clicking on Module ‘MMM,’ we can see that it is executed on our previously
created vegetable table with the same format as that of the one used in Sheet 1,
which was “ITEM FRUIT LIST”. Hence a macro is being executed.

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 In short, what if analysis macros help
automate scenario testing in excel saving time and
improving accuracy.

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