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Help me to understand formulae
Hi,
Searching for the solver examples on the net I came across the example where I find a formulae that I dont understand and I just wonder if any one could explain in very simple words the formulae is =B14*MAX (B10, 0) ^$H$4 where b14 =Unit Profit b10 =Units Produced $H$4= Diminishing Profit Factor (0.9) I can see that when I remove the Diminishing Profit Factor the result is much higher but I dont understand why it has been included on the first place Thanks in advance Anna |
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#2
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Help me to understand formulae
Hi anna:
It is just a way to model reduced profit. For example, if H4 were set to .5 and B10 was 16, the effect is the same as having B10 set to 4 with no factor -- Gary''s Student - gsnu200785 "anna" wrote: Hi, Searching for the solver examples on the net I came across the example where I find a formulae that I dont understand and I just wonder if any one could explain in very simple words the formulae is =B14*MAX (B10, 0) ^$H$4 where b14 =Unit Profit b10 =Units Produced $H$4= Diminishing Profit Factor (0.9) I can see that when I remove the Diminishing Profit Factor the result is much higher but I dont understand why it has been included on the first place Thanks in advance Anna |
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#3
Posted to microsoft.public.excel.newusers
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Help me to understand formulae
Thanks Gary
"Gary''s Student" wrote: Hi anna: It is just a way to model reduced profit. For example, if H4 were set to .5 and B10 was 16, the effect is the same as having B10 set to 4 with no factor -- Gary''s Student - gsnu200785 "anna" wrote: Hi, Searching for the solver examples on the net I came across the example where I find a formulae that I dont understand and I just wonder if any one could explain in very simple words the formulae is =B14*MAX (B10, 0) ^$H$4 where b14 =Unit Profit b10 =Units Produced $H$4= Diminishing Profit Factor (0.9) I can see that when I remove the Diminishing Profit Factor the result is much higher but I dont understand why it has been included on the first place Thanks in advance Anna |
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