Microsoft Office
Building models exercise
Average difficulty

This Microsoft Office BUILDING MODELS exercise is provided to allow potential course delegates to assess their suitability for the Wise Owl EXCEL BUSINESS MODELLING course only, and may not be reproduced in whole or in part in any format without the prior written consent of Wise Owl.

Exercise: Basic modelling for star

A full answer to this exercise is provided as part of the training course!

1) Download the files needed to start this exercise: exercise-405.zip (and click here if you experience any problems unzipping this file after downloading it).
2) You have been commissioned  by a famous celebrity (definitely A list) to model their expenditure and income, to see why they keep running into debt.  Open the workbook in the folder above to begin.
3) Create the following inputs:
  • A basic living allowance of £20,000 for each of the first 3 months followed by £30,000 for each of the remaining 9 months
  • An amount for the star's overseas homes starting at £10,000 for the first month and rising by £1,000 a month to £21,000 in the last month
  • An amount for sex, drugs and rock and roll of £5,000 for each of the first two months, then £6,000 for each of the remaining 10 months
4) Your spreadsheet should now look something like this:
Exercise screen-shot 1340 Your formatting will look different
5) Add a revenue section to the Inputs sheet.  This consists of two separate inputs:
  • A month-by-month fee, beginning at £10,000 in month 1 and rising in equal £5,000 amounts to £65,000 in month 12
  • A single-cell input for a multiplier for guest appearances, etc, initially equal to 150% (this should go in column D)
6) Calculate the star's revenue, costs and "profit" on the calculations sheet - here is what it might look like, with suitable number formatting applied:
Exercise screen-shot 1341 Notice that the positive and negative numbers line up neatly
7) Save this workbook as Looks gloomy.xls, then close it down.

Thank you for showing an interest in this Excel Business Modelling training course! As mentioned above, full answers to this and other exercises are provided on the course. On all Wise Owl scheduled courses delegates can take away these model answers (together with their own efforts!) on a free USB stick.

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