jaime_ottawa wrote:
On Jul 22, 12:14 pm, Glenn wrote:
jaime_ottawa wrote:
I'm trying to model a pricing structure based on volume tiers, but
there are too many embedded if statements and the function won't work.
It's a 'step-pricing model' meaning that the first 12000 transactions
are 0.39 each, then the next 18,000 transactions up to 30,000 are 0.37
each, then the next 30,000 up to 60,000 are 0.35 and so on (see
below).
How can I determine revenue from this pricing scenario?
I had originally used embedded 'if' statements but my Excel 2003 won't
allow me more than 7. Is there any other way to do this?
12,000 0.39
30,000 0.37
60,000 0.35
120,000 0.33
180000 0.31
240000 0.29
300000 0.27
360000 0.25
480000 0.23
600000 0.21
720000 0.19
900000 0.17
1200000 0.15
1800000 0.13
2400000 0.11
3000000 0.09
Assuming I understand your needs properly and your table above is in A2:B17 and
A1 is blank, put the number of transactions in D2 and this in E2:

=SUMPRODUCT((A2:A17<=D2)*(A2:A17-A1:A16)*(B2:B17))
+(D2-INDEX(A2:A17,MATCH(D2,A2:A17,1)))*
INDEX(B2:B17,MATCH(D2,A2:A17,1)+1)

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This didnt' work.. I entered this: My volumes are v14:v29 and my
pricing is x14:x29 with v13 blank. J12 is my volume. Am I doing
something wrong? Do the two columns need to be beside each other or
something?

=SUMPRODUCT(($V$14:$V$29<=J12)*($V$14:$V$29-$V$13:$V$28)*($X$14:$X$29))
+(J12-INDEX($V$14:$V$29,MATCH(J12,$V$14:$V$29,1)))*INDEX ($X$14:$X
$29,MATCH(J12,$V$14:$V$29,1)+1)


=SUMPRODUCT(($X$14:$X$29<=J12)*($X$14:$X$29-$X$13:$X$28)*($V$14:$V$29))+
(J12-INDEX($X$13:$X$29,MATCH(J12,$X$13:$X$29,1)))*
INDEX($V$14:$V$30,MATCH(J12,$X$13:$X$29,1))

Includes the correction from my previous post.