Thursday, 6 January 2022

Data Table : Advancing a model

 

                                                         Data Table : Advancing a model

Link for Data table in excel

What is a data table

Once you have created a model, you may want to create tables showing how some of the results (outputs) of the model would look for a series of different values for one or more of the inputs to the model.  

A one-input data table

A one-input data table (also called one-variable data table) allows you to show the values of several dependent (output) variables for a range of values for  one independent (input) variable.

Independent variables

       Independent variables are the inputs to a model.

       They are not calculated in the model; the user has to provide them.

       They are called independent because they can be changed independently, at the user’s choice.

       In the worksheets, the cells for independent variables have only input numbers or text and
not any formula.             

Dependent variable

       Any value calculated within the model is a dependent variable because its value depends on the values of other independent and dependent variables.

       In the worksheets, any cell that has a formula in it represents a dependent variable.

A two-input data table

       A two-input data table allows you to show the values of one dependent (output) variable for ranges of values for two independent (input) variables.        

       Example

       Number of units sold 100

       Sales price/unit $12

       Purchase price/unit $10

       Income-tax(40%) $80

       Q.1 : Build a revenue model. Calculate : Revenue, COGS,EBIT,PAT

Q.2:  Revenue and after tax income for different no. of sales units

Q.3 Revenue for different no. of sales units and different selling price per unit.

 

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