Results 1 to 3 of 3
  1. #1
    Bronze Lounger
    Join Date
    Feb 2008
    Posts
    1,420
    Thanks
    124
    Thanked 5 Times in 5 Posts

    Goal Seek-Changing %

    I have a spreadsheet where I have computed the GP% (gross Profit %). I have tried to use Goal Seek to see what the GP After deducting Variable Expenses would be if I changed the GP% to say 9%

    Your assistance in this regard will be most appreciated
    Attached Files Attached Files

  2. #2
    WS Lounge VIP sdckapr's Avatar
    Join Date
    Jul 2002
    Location
    Pittsburgh, Pennsylvania, USA
    Posts
    11,225
    Thanks
    14
    Thanked 342 Times in 335 Posts
    How do you want to get to the 9% GP? Changing Sales, COS or Variable Costs:

    GP% = GP After / Sales
    GP After = Sales - COS - Var Costs
    GP% = (Sales - COS - Var Costs) / Sales

    To get a GP of 9%, you can change the Sales:
    Sales = (var Costs + COS) / (1-9%)

    or change the Var Costs:
    Var Costs = Sales (1-9%) - COS

    or change the COS:
    COS = Sales (1-9%) - Var Costs

    Changing the Sales gives a different GPA than changing either the Var Costs or COS.

    Steve

    PS. If the Var Costs and COS are related to the Sales (which your spreadsheet does NOT reflect) with those dependencies you can calculate or use goal seek...
    Last edited by sdckapr; 2011-10-23 at 08:48. Reason: Added PS

  3. #3
    Bronze Lounger
    Join Date
    Feb 2008
    Posts
    1,420
    Thanks
    124
    Thanked 5 Times in 5 Posts
    Hi Steve

    Thanks for the info. Will change my spreadsheet accordingly

    Regards

    Howard

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •