Hello,
I have attached a case problem that I am trying to figure out the best way to approach it.
Basically I am being asked to create a What If scenario (a monthly financial tool) that allows to test or change profit margins or sales volume. This scenario should allow also time parameter as it asks that expected margin is reached within 24 or 36 months depending on the product. I understand the problem however I am not sure what is the best way to present it. Does it need to be a what if scenario that allows changes to profit margin % and time in months? Or should I show a monthly data table that portrays monthly values by column with the respective cost, sales and margin? It is obviously more complex as there a couple more variables. Including the fact that in the problem the company expect to make the sales of the chairs within the 1st year.
Any input on which is the best way to present this via what if analysis is appreciated.
Chair Input Cells
Total Cost $ 200,000.00
Expected Profit $ 100,000.00
Profit Margin 33.33%
Term(months) 12
Sales % 80%
Qty 20000
I have attached a case problem that I am trying to figure out the best way to approach it.
Basically I am being asked to create a What If scenario (a monthly financial tool) that allows to test or change profit margins or sales volume. This scenario should allow also time parameter as it asks that expected margin is reached within 24 or 36 months depending on the product. I understand the problem however I am not sure what is the best way to present it. Does it need to be a what if scenario that allows changes to profit margin % and time in months? Or should I show a monthly data table that portrays monthly values by column with the respective cost, sales and margin? It is obviously more complex as there a couple more variables. Including the fact that in the problem the company expect to make the sales of the chairs within the 1st year.
Any input on which is the best way to present this via what if analysis is appreciated.
Chair Input Cells
Total Cost $ 200,000.00
Expected Profit $ 100,000.00
Profit Margin 33.33%
Term(months) 12
Sales % 80%
Qty 20000