Question: Objective How to do what if analysis with graphs Required a

Objective: How to do what-if analysis with graphs.
a. Read the article “Tweaking the Numbers,” by Theo Callahan in the June 2001 issue of the Journal of Accountancy (available at Follow the instructions in the article to create a spreadsheet with graphs that do what-if analysis.
b. Now create a spreadsheet to do graphical what-if analysis for the “cash gap.” Cash gap represents the number of days between when a company has to pay its suppliers and when it gets paid by its customers. Thus,
Cash gap = Inventory days on hand + Receivables collection period – Accounts payable period
The purpose of your spreadsheet is to display visually what happens to cash gap when you “tweak” policies concerning inventory, receivables, and payables. Thus, you will create a spreadsheet that looks like Figure 16-16.
c. Set the three spin buttons to have the followingvalues:

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