Financial management with Lotus 1-2-3

Article Abstract:

One of the most useful aspects of Lotus 1-2-3 is the series of built-in formulae and financial functions. For capital investment appraisal, there are functions which compute the net present value of a cash flow series and the internal rate of return for a series of cash flows at equal intervals. Other functions calculate: the present or future value of an annuity; the periodic payment necessary to pay off a loan; and the time and rate required to reach an investment target amount.

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Bringing uncertainty into the CVP analysis

Article Abstract:

The traditional cost-volume-profit (CVP) model used in CVP analysis in profit and product planning is useful but does not include adjustments for uncertainty and risk. It is shown that CVP analysis can be extended to incorporate uncertainty in the model parameters. It would be simple to extend the model so that it applies to multiproducts.

Methods, Management, Profit, Accounting and auditing, Profits, Mathematical models, Cost accounting, Managerial accounting, Controllership

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Using the logical IF function

Article Abstract:

The IF function is very useful for management accounting purposes in Lotus 1-2-3 and similar electronic spreadsheets. The IF function can be used to conduct checks and indicate any errors in cells. Items can be coded with the IF function to verify that they have been transferred properly.

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