Np_Ex16_10B College Course 16 Excel Questions ,Goal Seek, Solver, Scenario Questions

Documentation New Perspectives Excel 2016 | Module 10: SAM Project 1b Cortona Coffee Makers WHAT-IF ANALYSES AND SCENARIOS Author: jose welshman Note: Do not edit this sheet. If your name does not appear in cell B6, please download a new copy of the file from the SAM website. Single Cup Cortona Coffee Makers - Single Cup Models Sales Single Cup Coffee Makers - Profit Analysis Units Sold 16,000 Units Sold Total Sales Total Expenses Gross Profit Price Per Unit $ 99.99 Total Sales $ 1,599,840.00 6,000 11,000 Expenses 16,000 Variable Expenses 21,000 Units Manufactured 16,000 26,000 Variable Cost per Unit $ 79.00 Total Variable Costs $ 1,264,000.00 Fixed Expenses Single Cup Coffee Makers - Gross Profit Analysis Total Fixed Cost $ 200,000.00 $ 135,840 $ 69.99 $ 79.99 $ 89.99 $ 99.99 $ 109.99 $ 119.99 $ 129.99 Expenses - Total $ 1,464,000.00 6,000 Total Expense Per Unit Sold $ 91.50 11,000 16,000 Profit 21,000 Total Sales $ 1,599,840.00 26,000 Total Expenses $ 1,464,000.00 Gross Profit $ 135,840.00 Break-even Analysis Price per Unit $ 99.99 Cost Per Unit $ 91.50 Units Sold 16,000 Gross Profit $ 135,840.00 Automatic Drip Cortona Coffee Makers - Automatic Drip Models Sales Automatic Drip - Break-Even Analysis Units Sold 12,500 Units Sold Total Sales Total Expenses Gross Profit Price Per Unit $ 79.99 12,500 999,875 910,000 89,875 Total Sales $ 999,875.00 10,000 799,900 780,000 19,900 10,500 839,895 806,000 33,895 Expenses 11,000 879,890 832,000 47,890 Variable Expenses 11,500 919,885 858,000 61,885 Units Manufactured 12,500 12,000 959,880 884,000 75,880 Variable Cost per Unit $ 52.00 12,500 999,875 910,000 89,875 Total Variable Costs $ 650,000.00 13,000 1,039,870 936,000 103,870 Fixed Costs 13,500 1,079,865 962,000 117,865 Total Fixed Cost $ 260,000.00 14,000 1,119,860 988,000 131,860 Expenses - Total $ 910,000.00 Total Expense Per Unit Sold $ 72.80 Profit Total Sales $ 999,875.00 Total Expenses $ 910,000.00 Gross Profit $ 89,875.00 Break-even Analysis Price per Unit $ 79.99 Cost Per Unit $ 76.76 Units Sold 10,500 Gross Profit $ 33,895.00 French Press Cortana Coffee Makers - French Press Models Sales French Press - Net Income Analysis Units Sold 15,500 Average Price per Unit Price Per Unit $ 55.99 83345.0 $ 55.99 $ 60.99 $ 65.99 $ 70.99 $ 75.99 Total Sales $ 867,845.00 13,000 40,870 105,870 170,870 235,870 300,870 13,500 49,365 116,865 184,365 251,865 319,365 Expenses 14,000 57,860 127,860 197,860 267,860 337,860 Variable Expenses 14,500 66,355 138,855 211,355 283,855 356,355 Units Manufactured 15,500 15,000 74,850 149,850 224,850 299,850 374,850 Variable Cost per Unit $ 39.00 15,500 83,345 160,845 238,345 315,845 393,345 Total Variable Costs $ 604,500.00 16,000 91,840 171,840 251,840 331,840 411,840 Fixed Costs 16,500 100,335 182,835 265,335 347,835 430,335 Total Fixed Cost $ 180,000.00 17,000 108,830 193,830 278,830 363,830 448,830 Expenses - Total $ 784,500.00 Total Expense Per Unit Sold $ 50.61 Profit Total Sales $ 867,845.00 Total Expenses $ 784,500.00 Gross Profit $ 83,345.00 Break-even Analysis Price per Unit $ 55.99 Cost Per Unit $ 53.40 Units Sold 12,500 Gross Profit $ 32,375.00 Suppliers Cortona Coffee Makers - Espresso Maker Suppliers Viva Domestics Allgood Universal SPQ Worldwide Total Units Produced 2,300 3,600 4,100 10,000 Fixed Costs $ 50,000.00 $ 60,000.00 $ 75,000.00 Fixed Cost per Unit 21.74 16.67 18.29 Variable Costs 143,060.00 231,300.00 268,550.00 Variable Cost per Unit 62.20 64.25 65.50 Total Costs $ 193,060 $ 291,300 $ 343,550 $ 827,910 Minimum Total Cost Model All Products Cortona Coffee Makers - Product Mix Single Cup Automatic Drip French Press Revenues Units Sold 16,000 12,500 15,500 Price Per Unit $ 109.99 $ 87.99 $ 60.99 Total Sales $ 1,759,840.00 $ 1,099,875.00 $ 945,345.00 Cost of Goods Sold Units Manufactured 16,000 12,500 15,500 Fixed Costs $ 200,000.00 $ 260,000.00 $ 180,000.00 Variable Cost per Unit $ 79.00 $ 52.00 $ 39.00 Variable Costs $ 1,264,000.00 $ 650,000.00 $ 604,500.00 Total Costs $ 1,464,000.00 $ 910,000.00 $ 784,500.00 Total Profit $ 295,840 $ 189,875 $ 160,845 Profit per Unit Sold $18.49 $15.19 $10.38 New Perspectives Excel 2016 | Module 10: SAM Project 1b New Perspectives Excel 2016 | Module 10: SAM Project 1b Cortona Coffee Makers WHAT-IF ANALYSES AND SCENARIOS GETTING STARTED · Open the file NP_EX16_10b_FirstLastName_1.xlsx, available for download from the SAM website. · Save the file as NP_EX16_10b_FirstLastName_2.xlsx by changing the “1” to a “2”. If you do not see the .xlsx file extension in the Save As dialog box, do not type it. The program will add the file extension for you automatically. · With the file NP_EX16_10b_FirstLastName_2.xlsx still open, ensure that your first and last name is displayed in cell B6 of the Documentation sheet. If cell B6 does not display your name, delete the file and download a new copy from the SAM website. · This project requires you to use the Solver add-in. If this add-in is not available on the Data tab in the Analyze group (or if the Analyze group is not available), install Solver as follows: In Excel, click the File tab, and then click the Options button in the left navigation bar. Click the Add-Ins option in the left pane of the Excel Options dialog box. Choose the Excel Add-Ins option in the Manage drop-down list, and then click the Go button. In the Add-Ins dialog box, click the Solver Add-In check box and then click the OK button. Follow any remaining prompts to install Solver. PROJECT STEPS Sophia Sabatini owns Cortona Coffee Makers, a company in Nashville, Tennessee that manufactures coffee makers for the consumer market. As an intern at the company, you are developing a workbook that includes the financial details of each product line. Sophia has asked you to use the data to analyze scenarios that involve cutting expenses and raising prices. She wants you to find the most profitable mix of products using the most cost-effective means of production. Switch to the Single Cup worksheet. Perform a break-even analysis for single cup coffee makers as follows: a. In cell B27, use Goal Seek to set cell B27 to a value of 0. b. Change the number of units sold in cell B26 to break even, or reach a Gross Profit of $0. (Hint: The number format applied to cell B27 will display the value of $0 as $ -.) Create a one-variable data table to calculate sales, expenses, and profits based on the number of single cup coffee makers sold as follows: c. In cell D5, enter a formula that references cell B4, which is the expected units sold for this product. d. In cell E5, enter a formula that references cell B19, which is the expected total sales for this product. e. In cell F5, enter a formula that references cell B20, which is the expected total expenses for this product. f. In cell G5, enter a formula that references cell B21, which is the expected gross profit for this product. g. Select the range D5:G10 and then complete the one-variable data table, using cell B4 as the Column input cell for your data table. Create a two-variable data table to calculate the gross profit based on the number of single cup coffee makers sold and the price per unit: h. For the range D14:K19, create a two-variable data table using the price per unit (cell B5) as the Row input cell. i. Use the units sold (cell B4) as the Column input cell. Apply a custom format to cell D14 to display the text Units Sold/Price in place of the cell value. Switch to the Automatic Drip worksheet. Create a Scatter with Straight Lines and Markers chart based on range D4:F14 in the data table Automatic Drip – Break-Even Analysis. Modify the new chart as follows: j. Resize and reposition the chart so that it covers the range D15:I30. k. Remove the chart title from the chart. l. Add Sales and Expenses as the vertical axis title and Units Sold as the horizontal axis title. Change the Bounds Axis Options as follows: m. Change the Minimum Bounds of the vertical axis to 750000 and the Maximum Bounds to 1150000. n. Change the number format of the vertical axis to Currency with 0 decimal places and $ as the symbol. o. Change the Minimum Bounds of the horizontal axis to 9000. (Hint: The Maximum Bounds should automatically change to 15,000.) Create two scenarios to compare the costs for stainless steel components and standard acrylic components in the automatic drip coffee makers as follows: p. In the Scenario Manager, add two scenarios using the data shown in bold in Table 1 below. q. The changing cells for both scenarios are the nonadjacent cells B11 and B14. r. Close the Scenario Manager without showing any of the scenarios. Table 1: Automatic Drip Coffee Maker Scenario Values Values Scenario 1 Scenario 2 Scenario Name Standard Stainless_Steel Auto_Drip_Variable_Cost (B11) 52.00 65.50 Auto_Drip_Fixed_Cost (B14) 260000 360000 Switch to the French Press worksheet. Create a Scatter with Straight Lines and Markers chart based on range D6:I14 in the data table French Press – Net Income Analysis. Modify the new chart as follows: s. Resize and reposition the chart so that it covers the range D15:I30. t. Remove the chart title from the chart. u. Reposition the chart legend to the Right of the chart. v. Add Net Income as the vertical axis title and Units Sold as the horizontal axis title. w. Change the colors of the chart to Color 8 (4th row in the Monochromatic palette). (Hint: Depending on your version of Office, the name of the color may be different.) Change the Bounds Axis Options for the new chart as follows: x. Change the Minimum Bounds of the vertical axis to -50000 and the Maximum Bounds to 500000. y. Change the number format of the vertical axis to Currency with 0 decimal places and $ as the symbol. z. Change the Minimum Bounds of the horizontal axis to 12000 and the Maximum Bounds to 18000. Edit the chart series names as follows: aa. For Series 1, set the series name to cell E5. (Hint: The series name should automatically update to “=’French Press’!$E$5”.) ab. For Series 2, set the series name to cell F5. ac. For Series 3, set the series name to cell G5. ad. For Series 4, set the series name to cell H5. ae. For Series 5, set the series name to cell I5. Sophia wants to determine whether subcontracting the manufacture of a new line of espresso makers to suppliers would reduce the costs of the machines. Switch to the Suppliers worksheet, and then run Solver to solve this problem as follows: af. Set the objective as minimizing the value in cell E10 (Total Costs). ag. Use the range B4:D4 as the changing variable cells. ah. Adjust the number of units produced by each company using the following constraints: E4=10000, the total number of espresso makers produced E10<=900000, the maximum total cost B4:D4<=4200, the maximum number of espresso makers produced by a single supplier B4:D4 should be an Integer ai. Run Solver, keep the solution, and then return to the Solver Parameters dialog box. Save the model to the range A14:A21, and then close the Solver Parameters dialog box. Switch to the All Products worksheet. Use the Scenario Manager to create a Scenario Summary report that summarizes the effect of the No Change, Subcontract, and Raise Prices 10% scenarios. Use cells B17:D17 as the result cells. Delete column D of the Scenario Summary worksheet because it repeats data already shown. Switch back to the All Products worksheet. Use the Scenario Manager as follows to compare the profit per unit in each scenario: aj. Create a Scenario PivotTable report for result cells B17:D17. ak. Remove the Filter field from the PivotTable. al. Change the number format of the Profit_per_Unit_Sold_Single_Cup, Profit_per_Unit_Sold_Auto_Drip, and Profit_per_Unit_Sold_French_Pre fields (located in the Values box of the PivotTable Field List) to Currency with 2 decimal places and $ as the symbol. am. Use Single Cup as the row label value in cell B3, Auto Drip as the value in cell C3, and French Press as the value in cell D3. an. In cell A1, use Profit per Unit Sold as the report title. ao. Format the report title using the Title cell style. ap. Resize column A using AutoFit. Resize columns B-D to 15.00. Add a PivotChart to the Scenario PivotTable worksheet as follows: aq. Create a Clustered Column PivotChart based on the PivotTable. [Mac Hint: PivotCharts are not available on Excel 2016 for the Mac, so insert a Clustered Column chart and adjust the data, and the legend and axis formatting to match Final Figure 6.] ar. Resize and reposition the chart so that it covers the range A8:D22. as. Hide all the field buttons in the chart. [Mac Hint: PivotCharts are not available on Excel 2016 for the Mac, so Mac users can ignore this instruction.] Your workbook should look like the Final Figures below. Save your changes, close the workbook, and then exit Excel. Follow the directions on the SAM website to submit your completed project. Final Figure 1: Single Cup Worksheet Final Figure 2: Automatic Drip Worksheet Final Figure 3: French Press Worksheet Final Figure 4: Suppliers Worksheet Final Figure 5: Scenario Summary Worksheet Final Figure 6: Scenario PivotTable Worksheet Final Figure 7: All Products Worksheet 2