Question

On the Rental Revenue worksheet, which Excel forecasting feature should be used in cell H7 to calculate a new Rental Fee resulting in a total Projected Revenue (Next Year) of $160,000?

a) TREND
b) FORECAST
c) GROWTH
d) PREDICT

Answer 1

To calculate a new Rental Fee resulting in a total Projected Revenue (Next Year) of $160,000 on the Rental Revenue worksheet, use the GROWTH function in Excel.

Step-by-step explanation:

To calculate a new Rental Fee resulting in a total Projected Revenue (Next Year) of $160,000 on the Rental Revenue worksheet, the Excel forecasting feature that should be used in cell H7 is the GROWTH function.

The GROWTH function in Excel is used to predict future values based on existing data. It works by fitting an exponential curve to the data points and using the equation to calculate the predicted values.

In this case, the existing data would include the current Rental Fee and the corresponding Projected Revenue for the previous years. By using the GROWTH function with appropriate arguments in cell H7, you can determine the new Rental Fee that would result in a total Projected Revenue of $160,000 for the next year.