What-if analyses can be easily performed in Excel by changing as few as one figure. As a business examines the possibilities surrounding its future performance, this type of analysis provides crucial information relative to best- and worst-case scenarios. As future planning becomes more complex, these what-if analyses can increase in complexity and usefulness.

Identify five what-if analyses that a business can perform when considering its performance for the upcoming year. Write a paragraph of at least four sentences in which you discuss the elements of your what-if analyses.

Write a second paragraph with at least four sentences to discuss how the information obtained from the what-if analyses could be used to improve business planning.