What are you supposed to determine in this (homework?) problem? There are 4
paragraphs giving statistics, but nowhere is a 'goal' set - i.e., whether or
not purchasing the service or product from the EAP provider is cost
effective? The first paragraph is very confusing as it doesn't say what the
20, 22 and 24% rates are referring to!

Looking at what's given, this can pretty much be determined without
resorting to any advanced features. You need to know the 'value' of an
employee's work over a specified period of time. From that you can determine
how much lost performance is costing you per employee. Then you see how much
that 60% improvement is worth, and compare that to the price per employee for
the service to see if it's worth buying or not (assuming it really works).

Job #1: figure out how much each employee costs per time period (hour, day
or whatever) and then start figuring cost of lost production and see whether
it will pay for itself or not, and if so, over what period of time. In the
last paragraph, it doesn't say if those cost/employee are one-time costs or
if they are per day or what?

And if this is a real world deal, use 'loaded' employee costs, not just
their salary rate.

"Hotsoss13" wrote:

I am very new to Microsoft Excel and need help. I am looking to learn some
advanced functions. What functions would you use to complete this problem:

Please HELP

Assume that your research has established that for small companies (100
employees or less) that this rate is 20%; for companies with 101 to 500
employees the rate is 22%; and for companies with over 500 employees the rate
is 24%.

Assume that your research has established the cost of impaired job
performance is higher for companies with more employees. For companies with
100 employees or less the cost rate is 20%; for companies with 101 to 500
employees the cost rate is 30%; and for companies with over 500 employees the
cost rate is 35%.

The EAP provider has a documented record of reducing the cost of impaired
job performance by 60%.

The EAP provider sets the cost per employee based on total employees in the
company, not the number of employees using the program. For companies with
100 employees or less the cost is $14 per employee; for companies with 101 to
500 employees the cost is $12 per employee; and for companies with over 500
employees the cost is $10 per employee.