Define What-if analysis? (Topic: MS Excel Part-II)
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What-If Analysis is the process of changing the values in cells to see how those changes will affect the outcome of formulas on the worksheet. Three kinds of What-If Analysis tools come with Excel: Scenarios, Goal Seek, and Data Tables. Scenarios and Data tables take sets of input values and determine possible results.
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By using What-If Analysis tools in Excel, you can use several different sets of values in one or more formulas to explore all the various results. For example, you can do What-If Analysis to build two budgets that each assumes a certain level of revenue.
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