Questions & Answers.
Week 2
1. How would you improve the transparency of the spreadsheet model below by separating
data from formulas? For example, how would you rewrite the formula shown in C10 in a form
that would be both more transparent and also could be easily copied through the multi year
period in columns C through F?
=$B$4*(1+$B$5)
The spreadsheet below models the costs of manufacturing speakers as well as the potential
revenues, assuming that the full order is sold. Assume
that we have been offered the option of expedited manufacture, reducing the wait for
receipt of goods after ordering by one half. However, that expedited service comes as a 25%
increase in cost for the order. Where would you put that 25% value as a variable?
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, -C
-A
-D
- None of these
-B
3. Referring again to the spreadsheet in Q2. Assume that we have been offered the option
of expedited manufacture, reducing the wait for receipt of goods after ordering by one half.
However, that expedited service comes as a 25% increase in cost for the order. Where
would you put a yes/no variable to indicate that the order is to be expedited?
-B
-A
-C
- None of these
-D
4. Refer again to the spreadsheet in Q2. If we wanted to add a variable to this model to
calculate average unit cost as an important output to monitor, where would you put it on
this spreadsheet?
-B
-C
-D
- None of these
-A
5. Referring again to the spreadsheet in Q2 & Q3, assume that the following range names
have been created: number ordered (cell B5); discount51 (cell B11); discount101 (cell
B12); and cost per cabinet (cell B15). What is a formula for cell B16 that would use these
range names?
=if(number_ordered<51,0,if(number_ordered>100,cost_per_cabinet*discount101,cost_per_ca
binet*discounts51)
=if(discount51=”true”,cost_per_cabinet*discount51,if
discount101=”true”,cost_per_cabinet*discount101,0))
None of these
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