The model to the right is a very simple Income/Loss Statement for a manufacturing business. There are many simplifications in this model, but an Income/Loss Statement is a very useful tool for analyzing profitability when numerous variables need to be considered. The model assumes that the variable values are known (deterministic), but this does not restrict the user from asking numerous important "What-If" questions. You can determine the model's assumptions by examining the cells where calculations take place...e.g. notice the parameters in Column N used in the calculations.

a) Build a two-way data table that varies Var. Cost % from 0.05-0.40 (in increments of 0.05 on the row) and Revenue from 100,000-1,000,000 (in increments of 50,000 on the column). Add conditional formatting to the data table that indicates when a value is negative. 

b) Add a form-control scroll bar to control Tax Rate, which should vary from 0.24 to 0.45 in 0.01 unit increments. (Remember that the values of form control are integers and between 0-30,000, so you will need a dummy value cell to adjust for the scale.) PLEASE LIST HOW TO DO THIS STEP-BY-STEP. THANK YOU SO MUCH FOR THE HELP!!!

Typical Income Statement for Manufacturing Busniess

Revenue	900000
COGS	360000
Gross Profit	540000	0.4	<=COGS%
Variable Cost	120000	0.2	<=Vaar.Cost%
Fixed Cost	100000
Operating Expenses	220000
Net Operating Income	80000
Interest Expense	25000
Earnings Before Taxes	55000
Taxes	18700	0.34	<=Tax Rate
Net Income	36300		* units in $$

Answer rating: 100% (QA)

a The income statement is as follows Gross Profit Revenue COGS Operating ex... View the full answer