G
Guest
How do I do sensitivity analysis in excel 2007?
G
Guest
Let’s say that you are looking at NPV and IRR (a financial example). You can
place the NPR and IRR on the horizontal axis (x axis). Let’s say these go in
C14
14. Make sure these are references to the cells where you actually
calculated the NPV and IRR, based on the cash flows generated by the project
that you are analyzing! Hard coding these values will not work in your data
table/sensitivity analysis. Then, you can place numbers corresponding to a
growth rate on the vertical axis (y axis). Let’s say these go in B15:B20.
Starting at 0% and going to 25%, in increments of 5%, may be a good idea.
Then click on B14 (the empty cell between your x & y vales). Move down and
right so that B1420 are selected. Then click, Data, Table, Column input
cell (this should be your growth rate, whatever cell it is on your
spreadsheet), Ok. Your data table should populate with all relevant
information. Write back if you get stuck somewhere.
place the NPR and IRR on the horizontal axis (x axis). Let’s say these go in
C14
14. Make sure these are references to the cells where you actuallycalculated the NPV and IRR, based on the cash flows generated by the project
that you are analyzing! Hard coding these values will not work in your data
table/sensitivity analysis. Then, you can place numbers corresponding to a
growth rate on the vertical axis (y axis). Let’s say these go in B15:B20.
Starting at 0% and going to 25%, in increments of 5%, may be a good idea.
Then click on B14 (the empty cell between your x & y vales). Move down and
right so that B14
20 are selected. Then click, Data, Table, Column inputcell (this should be your growth rate, whatever cell it is on your
spreadsheet), Ok. Your data table should populate with all relevant
information. Write back if you get stuck somewhere.