Module 8 Quick Check

What is the difference between a binding and nonbinding constraint?

A nonbinding constraint is a constraint that is not a limiting factor in the Solver solution. A binding constraint is a limiting factor in the Solver solution.

What is a one-variable data table?

A one-variable data table is a data table with a single column or row of input values and multiple results.

What is a result cell?

A result cell is the result you're interested in viewing based on the changing value of the input cell.

What is a two-variable data table?

A two-variable data table is a data table with two input values and a single result.

What is a variable cell?

A variable cell is an input cell that changes so that the objective cell can meet its defined goal.

Describe the difference between a variable and a fixed expense?

A variable expense increases with production of an item or service. A fixed expense remains constant regardless of the production or service volume.

What is an add-in?

An add-in is a customized program that adds commands and features to Microsoft Office programs such as Excel.

What is an array formula?

An array formula is a formula that acts upon a value array, returning either a single value or an array of values.

What is an input cell?

An input cell is a cell in the data table containing a value you're interested in changing to examine its impact in the what-if analysis.

What is an iterative process?

An iterative process starts with an initial solution and uses it as a basis to calculate a series of solutions. Each step, or iteration, improves the solution until the point is reached where one solution is no longer significantly better than the previous solution.

What is an objective cell?

An objective cell is a result cell that is maximized, minimized, or set to a specific value.

What are changing cells in a scenario?

Changing cells are cells that contain values you change under the different scenarios.

What should you do before creating a scenario report to make the entries on the report easier to interpret?

Define names to reference the input and result cells.

Cell E5 contains the formula =B10. You want to display the text "Profits" instead of the formula's value. What custom format would you use?

Enter the custom format, "Profits".

When would you use the filer button on a Scenario PivotTable report?

When you are merging scenarios from several authors, each is identified under a different name.

How many result cells can you display with a two-variable data table?

There is only one result cell for a two-variable data table.

What is a data table?

A data table is a table that shows the outcomes of several what-if analyses.

What are three options for the objective cell using Solver?

Maximize it, minimize it, or set it to a specific value.

What are the result cells in a scenario?

Results cells are defined when creating scenario summary reports by entering the range in the Scenario Summary dialog box.

What are the two types of scenario reports?

Scenario Summary reports and scenario PivotTable reports.

What is the one advantage of scenarios over data tables?

Scenarios enable you to perform what-if analyses using several input and result cells.

What are the six types of constraints you can put on a cell in a Solver model?

Set the cell equal to a value, make it less than or equal to a value, make it greater than or equal to a value, constrain it to be an integer, constrain it to be a binary value (0 or 1) or constrain the values in a cell range to have different integer values.

In the Solver report, what is meant by the term "Slack"?

Slack is the difference between the value of a constraining cell and the limiting value of the constraint.

When does the break-even point occur?

The break-even point occurs when total revenue matches total expenses.

How many result cells can you display with a one-variable data table?

There is no limit to the number of results cells with a one-variable data table.