What is a scenario in Excel What-if analysis?
A)A two-variable goal seek tool
B)Any what-if analysis
C)A tool that changes one variable through several iterations
D)Detailed set of values that represent different possible situations

Question

Quizplus · Accepted Answer

A scenario in Excel What-if analysis is a detailed set of values that represents different possible situations. It allows users to create and save different sets of input values and switch between them to see the impact on the final output. This is useful for forecasting, budgeting, and decision-making. A two-variable goal seek tool is a specific type of what-if analysis that solves for a specific output based on two input variables. Therefore, A is incorrect. B is too general as it could refer to any type of what-if analysis, not just scenarios. C is also incorrect as it only refers to the iteration process, which is just one aspect of scenario analysis.

What Is a Scenario in Excel What-If Analysis