create a business analysis tool to calculate a business s potential profit using multiple variables writing homework help

Person Place and Time Response classmates
August 10, 2020
Projects A and B are mutually exclusive projects. Project A requires an initial investment today of $300 and generates expected cash flows of $100 at the end of each of the next 5 years. Project B req
August 10, 2020

create a business analysis tool to calculate a business s potential profit using multiple variables writing homework help

1. Students have LOTS of latitude in this assignment. Students may build an analysis too similar in

content and/or format to the ‘Buggy Supplies ‘R Us’ example below, or build an analysis tool for

any business opportunity using their own content and format..

2. The analysis tool must accommodate AT LEAST 6 revenue streams and AT LEAST 6 types of

expenses. Some of the revenue streams and some of the expenses must allow for the input of

two variables. (e.g., quantity sold * selling price –or- number of employees * annual rate)

3. Provide subtotals for each logical block of information

4. Format the analysis so there is a nice flow to it and it is easy to comprehend. Use grid lines and

color to clarify and emphasize.

5. Provide a ‘BOTTOM LINE’ block that summarizes the projections of all anticipated revenues and


6. Be sure to validate the accuracy of ALL calculated values!

7. In a cell adjacent to ‘the bottom line’ section, develop an ‘IF’ statement that displays an

appropriate message if the analysis calculates to a net loss

8. Finishing touches –and suggestions

a. Ensure consistency in the presence (or absence) of ‘cents’

b. Ensure consistency in the use (or non-use) of the ‘ sign in cells depicting currency

c. Suggestion: Avoid the use of dark background colors as they will obscure the text in

those cells when printed

d. Since this is a financial analysis tool, it is best to avoid the use of red as an accent color

as red has meaning in the accounting world

9. Optional: Add a graph to visually depict any important aspect of the analysis

10. Ensure the spreadsheet is formatted to print nicely… (There is no need to actually print the

spreadsheet. Use ‘print preview’ to confirm the print formatting is acceptable.)

11. Once done… …take time to enjoy the POWERFUL tool you just created. Go ahead, change

ANY variable in the tool –and watch as the change is automatically reflected throughout the

tool. Way cool. Way, WAY cool!

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