Question

Suppose we want to highlight the year number for each year during which sales were at least 5% higher than the previous year. We would begin by selecting the cell range D6:D12 and choose Conditional Formatting from the Ribbon. Then you would select new rules followed by the Use a Formula option. Finally you would enter the following formula.

Year Actual Sales Cumulative Sales
1 77 77
2 58 135
3 78 213
4 40 253
5 42 295
6 44 339
7 74 413
8 83 496
A. (E5/E4)>1.05.
B. ($E$6/E5)>1.05.
C. (E6/E5)>1.05.
D. (E6/E5)>.05.

Answer 1

c) E6/E5 > 1.05

Option C is the correct option.

Step-by-step explanation:

Data Given:

Year Actual Sales Cumulative Sales

1 77 77

2 58 135

3 78 213

4 40 253

5 42 295

6 44 339

7 74 413

8 83 496

The formula, we have to use in this question is:

c) E6/E5 > 1.05

Option C is the correct option.

Actual Sales/Previous Sales > (1+r)

r = 5%

r = 0.05

Actual Sales/Previous Sales > (1 + 0.05)

Actual Sales/ Previous Sales > (1.05)

Here, the sales were at least 5% higher than the previous year sales. Therefore, the correct formula here we need to enter in Excel Spread Sheet is "E6/E5 > 1.05"

Where, E is the name of the cell in the Excel Spreadsheet.