Year 8 Spreadsheets booklet

Royton and Crompton ICT Department

Spreadsheets booklet

Contents
Page no. 3 4 5 6 7 8 8 9 9 11 12 16 16 17 17 17 18 18 19 19 20 20 21 21 22 22 24 24 Done

Instructions Creating the Coffee Shop model Task Meaning of terms Inputting the formulae Auto fill Task Absolute cell referencing Task Extension task 1 Charts Task Extension task 2 Min, max, avg, sum functions Sum function Task Avg function Task Min function Task Max function Task Date function Task Goal seek Task 1 Task 2 Extension task 3

Spreadsheets booklet Instructions This booklet will be used for Lessons 4, 5 and 6 so it is important that you keep this safe. Each lesson we will do certain pages so refer to the contents page (page 2) in order to locate each task and a helpsheet. You will be graded at the end of this unit based on how many tasks you finish. Good luck!

Spreadsheets booklet

Creating

Model worksheet
Please follow these instructions in order to create the Coffee Shop model as shown below:

You should have this spreadsheet (which is shown above) when you open up CoffeeShop.xls. Make sure you save this to your area. One thing you need to do is enter No.cups sold into cell D19. Cell E19 will be used to enter how much cups have been sold. Now complete these tasks below:

Tasks 4

Spreadsheets booklet Formatting Fixed Costs 1. Cell B3 and cell range B6:B10 need to be formatted to currency to 2 decimal places. e.g. 800 >- 800.00. Format these cells 2. Cell B10 will use a SUM function to add together cells B6:B9 e.g. B6+B7+B8+B9 Input a SUM function into cell B10 Formatting Variable Costs 1. Cell range B13: B17 will be formatted to currency to 2 decimal places. e.g 12 >- 0.12 Format these cells 2. Cell B17 will use a SUM function to add together cells B13:B16 e.g. B13+B14+B15+B16 Input a SUM function into cell B17

Meaning of terms

Spreadsheets booklet Variable costs Variable costs are costs in which its value does not stay the same. In the spreadsheet, to work out the variable costs, it is the total number of cups sold (cell E19) multiplied by the total variable costs (cell B17). Fixed costs Fixed costs are costs in which its value stays the same. In the spreadsheet, to work out the fixed costs, these are rent (cell B6), wages (cell B7), rates (cell B8) and interest on loans (cell B9). Total costs Total costs are variable costs and fixed costs added together. In the spreadsheet, this is variable costs (cell A22) plus fixed costs (cell B22). Revenue Revenue is total money made from selling cups of coffee, so how much money is made. In the spreadsheet, this is the selling price of 1 cup (cell B3) multiplied by the number of cups sold (cell E19). Profit/Loss Profit/Loss is how much profit or loss is made after taking away the revenue (total money made from selling coffee) from the expenses (total costs). The leftover will be profit or loss. In the spreadsheet, this is revenue (cell D22) minus total costs (cell C22). Break-even Break-even is where there are no profit or loss meaning that it is between the two. 0 is when there is no profit or loss. In this spreadsheet, a break-even will happen in cell E22 by modifying cell E19

Spreadsheets booklet Inputting the formulae Cell A22 will be used for the variable costs. This is the total variable costs (cell B17) multiplied by the number of cups of coffee sold (cell E19). 1. Enter this formula into cell A22 Cell B22 will be used for fixed costs. These are in cell B10. 2. Enter this formula into cell B22 Cell C22 will be used to total costs. It will add the variable costs (cell A22) and the fixed costs (cell B22) together. 3. Enter this formula into cell C22 Revenue is money that you get into your business. This is the cost of a cup of coffee (cell B3) multiplied by the number of cups of coffee sold (cell E19). 4. Enter this formula into cell D22 Finally the profit/loss column is the money left over after the revenue has been subtracted away from total costs. 5. Enter this formula into cell E22. For one cup of coffee sold, your spreadsheet should look like the one shown below:

6. Place your screenshot in your worksheet

Auto fill 7

Spreadsheets booklet Auto fill is a method in spreadsheets that calculates a number of cells together automatically. When you have more than few cells to calculate, it can be boring and can take a lot of time to do, what auto fill does is that you do the calculation (entering a formula) for one cell and then you use auto fill. Now this is where Autofill comes into play. Tasks Click onto tab Auto fill 1. Highlight the row (cell range B20:F20), click and then drag the black square that appears at the bottom right hand corner of the selection

The autofill symbol

2. How much profit (or loss even) will be made if 54235 cups of coffee were sold? Enter this into cell A26. After you have done this, your spreadsheet should look like this:

As you can see, there seems to be many errors. This is because absolute cell referencing is required.

Absolute cell referencing 8

Spreadsheets booklet want a cell reference to stay fixed on a This is used when you specific cell. This means that when a formula or function is copied and pasted to other cells, the cell references in the formula or function do not change. However, most cell references in a spreadsheet are relative cell references, which change when copied and pasted to other cells. An example of absolute cell referencing is $C$14 and $A$5. The dollar sign is used for absolute cell referencing. Adding absolute cell referencing to your spreadsheet Tasks
Note for this section, we will still be using the Auto fill worksheet.

Press undo a few times until cells B20:F20 are left (like on page 8) An example to help you on absolute cell references; if you have a formula =A17*C3, to make it an absolute cell reference, we enter the dollar signs in front of each letter or number so it is now =A$17*C3. In cell row 20 (B20:F20), cells B20, C20 and E20 need absolute cell references. 1. Make these cells have absolute cell references. 2. Now try dragging down the formulas again. (Hint: be careful as you only use absolute cell references on cells that contain a formula else your auto fill will not work!) Make sure you save your spreadsheet! Your final spreadsheet should look like the one below

Spreadsheets booklet

Well done! You can now format cells, input formulae, use auto fill and absolute cell referencing!

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Spreadsheets booklet Extension task 1 Now that you have finished the tasks, why dont you try and make it look better? Consider: cell colours Font type Font size Cell size Images

Also can you format each cell so that it is formatted appropriately? E.g. currency and 2 decimal places for price. See also, when you are formatting the cells, if you can get negative numbers (in our case when theres a loss) to show up in red. (Hint: look at the examples when you format the cell to currency)

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Spreadsheets booklet

Charts

Now that we have created our model, we will create charts from our data. In order to create a chart, we select the relevant data that we want to put into a chart, then press and then select relevant chart/graph as shown below: Data that we want to put into a graph

Chart button

After selecting the data and pressing the chart/graphs button we are shown this screen as shown below:

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Spreadsheets booklet

We then select the type of chart we want. If we select a pie chart, below shows the next window that appears as a result:

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We then press Finish to create the chart and it will be inserted into your spreadsheet as shown below:

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Spreadsheets booklet Task 1. Create at least two graphs/charts highlighting different parts of the model e.g. pie chart to show total fixed costs. Create charts on: The total fixed costs Total variable costs

They must be labelled appropriately. You may use any chart that you wish and any data that you want to highlight, but make sure it is appropriate to the data e.g. you wont use a bubble chart to highlight profit and loss. Extension task 2 2. Work out a way to draw a scatter graph to show profit/loss (Hint: you will need to have a few loss values, how do you do this?) (Hint: try using the auto fill worksheet and then use the columns total no. of cups sold, total costs, revenue)

Min, max, avg, sum functions 16

Spreadsheets booklet Sum function The sum function is used to add a range of cells together. E.g. =sum(A1:A16). Task 1. If you can remember last lesson on page 7 question 3, we added up variable costs and the fixed costs to get the total costs. Now use the SUM function to find the total and enter this into cell B26. In cell A26, type in Total costs (SUM)

Average function

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Spreadsheets booklet The average function is used to calculate the average of a range of cells. E.g. =average(A1:A16). Task Create a new column under Total fixed costs (A10) and Total variable costs (A17). Label it Average 1. In cell B11, work out the average for Total fixed costs 2. In cell B19, work out the average for Total variable costs

Min function

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Spreadsheets booklet The min function works out the minimum or lowest value from a range of values. E.g.=min(A1:A16) Task In cell A29, type in Minimum. 1. In cell B29, work out the minimum value for fixed costs (cells B6:B11) and variable costs (cells B14:B19). Remember to format cell A29 to currency 2 decimal places

Max function

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Spreadsheets booklet The max function works out the maximum or highest value from a range of values. E.g.=max(A1:A16) Task In cell B30, type in Maximum. 2. In cell B30, work out the maximum value for fixed costs (cells B6:B11) and variable costs (cells B14:B19). Remember to format cell A30 to currency 2 decimal places

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Spreadsheets booklet Date function The date function gives you the current date. e.g.=today() Task 1. In cell A1, type in Date and in cell B1 type in the date function.

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Using Goalseek on

Model worksheet
Goal seek is used to predict outcomes. For example if we wanted to find out how much profit we would make if we sold 200 cups, we would enter that into cell E21 and look at cell E24 for the result. However if we wanted to find out the minimal amount of fixed costs we would need to break-even, it would take too long doing this using trial and error so we use goal seek instead. Task 1 1. Work out how the minimal amount of cups we need to sell to break-even 2. How many cups of coffee do we need to sell in order to make a 600 profit? (Hint: for both tasks you need to edit cell E21)

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Spreadsheets booklet Now please follow

these instructions in order use goal seek on the Coffee Shop model as shown below:

Click on Tools >- Goal seek. Example We are going to find out how much would coffee costs in variable costs if total variable costs are 0.15.

We want to change the total variable costs (cell B18) to 0.15 so we put 0.15 into To value and B18 into Set cell. We also want to find out how much coffee would cost (cell B14) so we put this into By changing cell. Click ok and then see what happens. Sometimes youll find that the answer given is not a whole number so we will need to round up or down to find the nearest whole number.

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Spreadsheets booklet Task 2 Now that we have understood what Goal seek is and how to use it, lets see if we can work out these scenarios: 1. How much cups of coffee do we need to sell in order to make a 150 profit? 2. How many cups of coffee will be sold if the total costs are 7000? 3. If total fixed costs were reduced to 6000, how much will wages be? 4. Work out how the minimal amount of cups we need to sell to break-even using Goal seek Extension task 1. What is the minimum cups of coffee that need to be sold in order to achieve a loss (-1)? 2. How much will the variable costs for coffee (B14) be if total variable costs are 0.19? 3. Using your answer from (1), see if you can create a scatter graph highlighting the profit/loss margins. You need to have atleast 4 values that are not profit. (Hint: Think about using goal seek and also how we create a chart. Also think about using the auto fill worksheet for help.)

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