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Mathematical Methods for Management Decisions

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DECS – 433 Excel Functions and Tools
DECS - 433 requires knowledge of various Excel functions and tools. This document attempts to explain and summarize your basic responsibilities in this regard. The information is presented in the following general categories: • Basic Excel Functions SUM PRODUCT SUMPRODUCT • MAX MIN

Excel Functions Commonly used in Simulation RAND RANDBETWEEN IF IF(RAND( ) … ) IF( … IF( … )) IF(AND … ) IF(OR … ) COUNTIF SUMIF LOOKUP LOOKUP(RAND( ) … )



Excel Functions Commonly used in Sampling AVERAGE VARP VAR STDEVP STDEV COVAR CORREL



Excel Functions Relating to Binomial Distributions FACT COMBIN BINOMDIST CRITBINOM CRITBINOM(… RAND( ))



Excel Functions Relating to Normal Distributions and T-Distributions NORMDIST NORMSDIST NORMINV NORMSINV NORMINV(RAND( ) … ) TDIST TINV



Useful Excel Tools Solver Data Tables

Page 2 of 37 Basic Excel Functions • SUM( … ) The SUM function adds up a range of cells or specific numbers. One specifies the range or specific numbers within the parentheses. Example:
1 2 3 4 5 6 7 A 3 -8 15 6 12 28 B C

Here we are adding specific numbers instead of referencing a range of cells. The formula underlying cell C7 is: = SUM(2, 4, 6)

12

Here we are adding cells A1 through A5. The formula underlying cell A7 is: =SUM(A1:A5)



PRODUCT( … ) The PRODUCT function multiplies ranges of cells or specific numbers. One specifies the range or specific numbers within the parentheses. Example:
1 2 3 4 5 6 7 A 3 -8 15 6 12 - 25920 B C

Here we are multiplying specific numbers instead of referencing a range of cells. The formula underlying cell C7 is: = PRODUCT(2, 4, 6)

48

Here we are multiplying cells A1 through A5. The formula underlying cell A7 is: = PRODUCT(A1:A5)

Page 3 of 37 • SUMPRODUCT(array 1,

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