Scenario Manager and Goal Seek in Excel are two very useful features and both of these function are classes as What if Analysis functions.
Scenario manager can be used to save different scenarios of the same situation on the same worksheet. For example, lets say you have a budget and you have prepared a best case budget and a worst case budget. You can use Scenario manager to keep these numbers stored on the one worksheet. Then you can switch between views as required. Once you have created Scenarios, you can then produce a Scenario report. This combines the information form each scenario into one report on a new worksheet.
Goal Seek will allow you find the desired result for a cell, given the know formula. For Example, and keeping it very simple. Lets say you know your gross profit is $150 and you know your sales are $200. Gross profit is Sales less Cost of sales. So we also know our formula. Given this, Excel can easily work out that cost of sales is $50.
The best thing to do is look at both Excels Scenario Manager and Goal Seek by way of examples. In this weeks video we will look at a working example of both these What if Analysis function in Excel.