Chapter 8 - What-If Analysis Flashcards Preview

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Flashcards in Chapter 8 - What-If Analysis Deck (27)
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1

What asks a what-if question involving a range of cells?

A data table

2

What performs many calculations at once, then compares results on a single worksheet?

A data table

3

What runs a simulation with a two-variable data table?

A data table

4

What consolidates multiple what-if models in one worksheet?

The scenario manager

5

True or False:

When you are using the scenario manager you can switch between scenarios to see how sets of assumptions affect results

True

6

What aims to specify possible courses of action, together with their risks, costs and benefits?

The systems theory

7

What is the layout of the systems theory?

Input -> system -> output

8

What does input represent in the systems theory?

Data

9

What does system represent in the systems theory?

Process

10

What does output represent in the systems theory?

Information

11

Which type of decision means that you have processes in place to handle the situation?

A structured decision

12

Which type of decision requires judgement, evaluation and insight to solve the problem?

An unstructured decision

13

Which type of decision is partially programmable but still requires human judgement?

A semi-structured decision

14

Fill in the Blanks: Known, Partially Known, Unknown, or ?

When the decision is structured the input is _____, the process is _____, and the output is _____

1. Known
2. Known
3. Known

15

Fill in the Blanks: Known, Partially Known, Unknown, or ?

When the decision is semi-structured the input is _____, the process is _____, and the output is _____

1. Partially known
2. Known
3. ?

16

Fill in the Blanks: Known, Partially Known, Unknown, or ?

When the decision is un-structured the input is _____, the process is _____, and the output is _____

1. Unknown
2. Unknown
3. Unknown

17

What is a type of what-if analysis that concentrates on an activity at or around the point at which a product breaks even?

The break-even analysis

18

What is a type of what-if analysis that attempts to examine how sensitive the results of an analysis are to changes in the assumptions?

Sensitivity analysis

19

What is a range of cells containing values and formulas?

A data table

20

True or False:

If you change the values in a data table the results don't change

False

21

What 2 things are data tables useful for?

Break-even and sensitivity analyses

22

Which type of data table requires a set of input values to be arranged perpendicular to the set of output formulas, with no value or formula located at the intersection of the set of input values and output formulas?

The one-variable data table

23

Which type of data table requires two sets of input values to be set up perpendicular to each other, and the output formula must be in the cell at the intersection of the two sets of input values?

The two-variable data table

24

What enables you to perform what-if analysis with more than two input cells?

The Excel scenario manager

25

What are the sets of values you define and save in the Excel scenario manager called?

Scenarios

26

List the 3 requirements for running a scenario

1. Well-structured input and output sections
2. Output depends on input through the use of formulas
3. The changing and result cells must be on the same worksheet

27

True or False:

When running a scenario you can't spam worksheets

True