1

Computer Science & Engineering 2111

Computer Science & Engineering 2111Lecture 1

Spreadsheet Design

CSE 2111 Lecture 1-Spreadsheet Design

2

Location, Location, LocationSpreadsheet design is the most important factor • GIGO

Proper formulas and formatting are also very important

Spreadsheet Organization

• Inputs and Outputs on the same worksheet

• Inputs and Outputs on separate worksheets

CSE 2111 Lecture 1-Spreadsheet Design

Design Tips

• Inputs and outputs should be clearly denoted

• Inputs and outputs should be set up in such a way as to facilitate creating formulas that can be copied instead of having to be rewritten over and over

• Formulas should primarily use cell references instead of “hard coding” the values (Typing a value instead of a cell reference)

CSE 2111 Lecture 1-Spreadsheet Design

3

4

Inputs and Outputs on Same Worksheet

CSE 2111 Lecture 1-Spreadsheet Design

Inputs

Outputs

5CSE 2111 Lecture 1-Spreadsheet Design

Notice the Design facilitates writing a formula in cell C4 and copying it over to cell E4 and down to cell E6

6

Inputs and Outputs on Separate Worksheets

CSE 2111 Lecture 1-Spreadsheet Design

Worksheet Name: Budget Assumptions

Worksheet Name:College Budget

Inputs

Outputs

7CSE 2111 Lecture 1-Spreadsheet Design

Worksheet Name: College Budget

8

Referencing Multiple Worksheets

• Special Characters or spaces in spreadsheet name, the whole name must be surrounded by ‘ ‘.

• Type in formula, or point and click

• Point and click-Make sure to anchor formula– All cell references will have sheet name, but that is ok.

CSE 2111 Lecture 1-Spreadsheet Design

9CSE 2111 Lecture 1-Spreadsheet Design

My Inputs OtherInputs

My Outputs

My Outputs

10

Decision Support Systems (DSS)

Programs used to help managers solve complex business problems

• A model representing a quantitative business problem– Problem can range from a desired product mix to sales forecasts to

sales analysis to risk analysis– Used to examine financial outcomes using “what if” analysis

• Examples of DSS programs– SAP™, Microsoft Dynamics™, and PeopleSoft™– Excel

CSE 2111 Lecture 1-Spreadsheet Design

11

College Town Thrift Shop

• Owner of a Thrift shop that caters to college students

• Thinking of expanding your business by buying an adjacent store front.

• You will need to finance the purchase with a business loan

• Bank requires a projection of your profit and cash flows for the next two years before it will loan you the money to expand

CSE 2111 Lecture 1-Spreadsheet Design

12

College Town Thrift ShopForecast Factors:• 2013 Sales• Cost of Goods Sold• Estimate of the Economy

• Recession and High Inflation Outlook• Recession and Low Inflation Outlook• Economic Boom and High Inflation Outlook• Economic Boom and Low Inflation Outlook

• Business loan payment

CSE 2111 Lecture 1-Spreadsheet Design

13

Organization of a DSS Model using an Income and Cash Flow Statement Framework

Constants Section• Holds values that are needed for the spreadsheet calculations

Inputs Section• Will be typed in by the user to play basic “what if” analysis

Summary of Key Results Section• Summarizes important information

Calculations Section• Used for intermediate calculations

Income and Cash Flow Statements Section• Financial or accounting “body” of the spreadsheet

CSE 2111 Lecture 1-Spreadsheet Design

14

Steps

• Create a skeleton and add any constants• Fill in the easy formulas• Fill in the hard formulas

CSE 2111 Lecture 1-Spreadsheet Design

15

Skeleton of DSS using an Income and Cash Flow

Statements framework

CSE 2111 Lecture 1-Spreadsheet Design

16

Constants SectionValues given to you and usually do not change, but can if needed.

For example, you might decide to borrow more than $100,000.

CSE 2111 Lecture 1-Spreadsheet Design

17

Inputs SectionAllows you to play basic “what if” analysis on the factors you have identified earlier

CSE 2111 Lecture 1-Spreadsheet Design

18

Summary of Key Results SectionSummary sections are usually placed near the top of a spreadsheet to allow managers to see a quick “bottom line summary(Copied from the Income and Cash Flow Statements section at the bottom of the sheet.)

Summary sections can make it easier to select cells for charting

CSE 2111 Lecture 1-Spreadsheet Design

19

Calculations Section (Expansion and No Expansion)

Used to compute intermediate values which makes the calculations in the Income and Cash Flow Statements less complicated.

CSE 2111 Lecture 1-Spreadsheet Design

20

Completed Spreadsheet(Using R/H as input)

CSE 2111 Lecture 1-Spreadsheet Design

21

Evaluating the outcomes for your DSS Model

1. Recession and High Inflation Outlook2. Recession and Low Inflation Outlook3. Economic Boom and High Inflation Outlook4. Economic Boom and Low Inflation Outlook

You could create 3 more copies of your spreadsheet to evaluate the four different scenarios, or you could use Scenario Manager.

CSE 2111 Lecture 1-Spreadsheet Design

22

Scenario ManagerUsed to run the model for all the requested outcomes and presents a tabular summary of the results.

Presents a tabular summary of the results that is useful for reports, presentations, etc.

CSE 2111 Lecture 1-Spreadsheet Design