Excel’s Goal Seek function is a valuable tool used in multiple industries. Optimizers, forecasters and consultants would be at a loss without it.
For example, lets say that I have just imported a container load of robot toys from China, and I want to work out how many units I need to sell in Month 3 in order to hit $1000000000 in sales.
If you are using Excel 2013, go to the Data tab, click on What-If Analysis, and click on Goal Seek.
So I want my “Total Revenue” cell (H6) to reflect a total of 10000000, and I want the Goal Seek function to adjust my month 3 sales cell (F6) in order to achieve this.
Select the relevant cells, fill in your target amount, and click OK.
Now sit back and watch Excel work it’s magic, and then……hey presto! You’ve got your answer!
I need to sell 20409221.36 units in order to hit my target.
This is a basic example of how to use the Goal Seek function, but it can be useful for working out interest rates and other complex formulas.
Thanks to Business Insider for yet another great lesson!