Chapter 04 – The Art of Modeling with Spreadsheets
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1. If two managers are given the same business problem to analyze with a spreadsheet, their
spreadsheet models will likely be almost identical.
2. There is a systematic procedure that will lead to a single correct spreadsheet model.
3. The Plan-Build-Test-Analyze process should always be followed step-by-step, from
beginning to end: Plan then Build then Test then Analyze.
4. When building a model, it is often a good idea to start with a small-scale version of the
problem.
5. When sketching out a spreadsheet, it is important to have determined the formulas for all of
the output cells.
6. An absolute reference does not change when it is filled or copied into other cells.
Chapter 04 – The Art of Modeling with Spreadsheets
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7. A relative reference does not change when it is filled or copied into other cells.
FALSE
8. The data is the first thing that should be entered in a spreadsheet model.
9. Once the data is entered, it should never be moved.
10. Data should be repeated within every output cell as needed.
11. When a number is needed in an output cell, is should typically be entered there directly.
12. It is better to use power functions in Excel to complete a calculation in a single cell than to
spread out a calculation over many cells using simpler formulas.
13. Whenever possible, the entire model should be displayed on the spreadsheet.
14. Colors and shading should be avoided on a spreadsheet because it distracts from the
model.
Chapter 04 – The Art of Modeling with Spreadsheets
25. Which of the following should be entered first when building a spreadsheet model?
26. Which of the following are valid range names in Excel?
27. Which of the following is not an advantage of using range names?
28. How many cells should be used to represent each constraint?
29. Each data value should be entered into how many cells?
Chapter 04 – The Art of Modeling with Spreadsheets
30. Which of the following can be done using the auditing tools in Excel?
31. What are some ways to distinguish data cells, changing cells, output cells, and target cells
on a spreadsheet?