Question: WHAT WOULD THE EXCEL FORMULA BE USING IF STATEMENTS. A drug company is trying to determine the correct plant capacity for a new drug. Develop
WHAT WOULD THE EXCEL FORMULA BE USING IF STATEMENTS.

A drug company is trying to determine the correct plant capacity for a new drug. Develop a model that computes the company's 10 year profit and variable costs given the chosen annual capacity level and the annual demand for the drug. Assume demand is the same for every year. When you change the annual capacity level or the annual demand, the profit should update as well. Note that you can not produce beyond the capacity you choose in cell B9. max 10 points Assumptions annual demand annual capacity level unit build cost unit price unit prod cost Amount Notes 4,000 this amount should be used in the revenue and variable cost formula below 3,500 this amount should be used in the revenue and variable cost formula below $10 One unit of annual capacity can be built for a cost of $10. This is a one time cost. $12 Each unit of the drug sells for $12 $4 Each unit of the drug costs $4 Pro forma Model Totals Ten year Revenue Notes create an IF statement to calculate the 10 year revenue, if annual demand (A8) exceeds annual capacity (A9), or vice versa, your IF statement should capture this. If you change the values in cells A8 and A9, these numbers should reflect those changes. create an IF statement to calculate the 10 year total variable costs, if annual demand (A8) exceeds annual capacity (A9), or vice versa, your IF statement should capture this. If you change the values in cells A8 and A9, these numbers should reflect those changes. This is a one time cost based off of annual capacity and the unit build cost Cell B15 minus Cell B16 minus Cell B17 Ten year Variable Cost Build cost Gross Profit A drug company is trying to determine the correct plant capacity for a new drug. Develop a model that computes the company's 10 year profit and variable costs given the chosen annual capacity level and the annual demand for the drug. Assume demand is the same for every year. When you change the annual capacity level or the annual demand, the profit should update as well. Note that you can not produce beyond the capacity you choose in cell B9. max 10 points Assumptions annual demand annual capacity level unit build cost unit price unit prod cost Amount Notes 4,000 this amount should be used in the revenue and variable cost formula below 3,500 this amount should be used in the revenue and variable cost formula below $10 One unit of annual capacity can be built for a cost of $10. This is a one time cost. $12 Each unit of the drug sells for $12 $4 Each unit of the drug costs $4 Pro forma Model Totals Ten year Revenue Notes create an IF statement to calculate the 10 year revenue, if annual demand (A8) exceeds annual capacity (A9), or vice versa, your IF statement should capture this. If you change the values in cells A8 and A9, these numbers should reflect those changes. create an IF statement to calculate the 10 year total variable costs, if annual demand (A8) exceeds annual capacity (A9), or vice versa, your IF statement should capture this. If you change the values in cells A8 and A9, these numbers should reflect those changes. This is a one time cost based off of annual capacity and the unit build cost Cell B15 minus Cell B16 minus Cell B17 Ten year Variable Cost Build cost Gross Profit
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