Frequently, I create Scenarios to define  a “Good, Better, Best” or “Worst Case, Best Case, Case Most Likely” outcome.

In this short Excel Training Video, I demonstrate how to create, edit,  and report four Scenarios for a Monthly Office Expense Budget.

These are the steps used in this Excel Video Lesson:

• Create (or open) an Excel worksheet that contains a formula. Identify the formula and the precedent  cells that feed into the formula.
• Select the “target cell” – the cell that contains the formula whose result will change with each Scenario.
• Choose TOOLS – SCENARIOS and follow the directions in the Create Scenario dialog box.
• First, click ADD. Name the Scenario. Click OK. Confirm that you have selected the “Target Cell” and then click / type in the “Changing cells.” The Changing cells should be either direct or indirect precedents to the Target cell formula. Click Add. Add additional Scenarios as desired.
• Click on the name of your Scenario and select SHOW to display the changing cell values and the new result in your target cell.
• If you wish, choose SUMMARY to create a summary report in a separate worksheet.
• I strongly recommend that you create named cells and use them in the formulas and changing cells of your Scenario.

NEW! Download the Excel Practice file used in this lesson:

• create-scenarios

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