Read and learn how to design good spreadsheets. Even if you think you know how, read both of these: How to use a spreadsheet to create a simple budget and Good Spreadsheet Design. Do all the examples in Google Sheets. Deliverable:Submit the url of the google sheet with your work from the two pages. Don’t forget to make accessible by all
Show off your knowledge of two important ideas in spreadsheets. Create a small, but meaninful example of the use of absolute and relative references, as well as a small but meaningful example of the user of the =VLOOKUP function. Deliverable:Submit the url of the google sheet with your work. Don’t forget to make accessible by all
Money
Life blood of a business are resources
You consume resources and you generate value
Remember Gazintas > Gazoutas
Very basic financial modeling
Basic terms
Costs
Revenues
Profits
Core calculation:
Profits = Revenues - Costs
Types of costs
Fixed
Variable
Division is not always clear cut
Fixed Costs
Cost you have to get to the first ‘thing’
First release? First sale? First Orange Juice Sold?
Rent
Communications
Variable Costs
Marketing expenses
Salaries
Raw Materials
Independent variables
Units sold?
Units manuctured?
Number of employees?
Number of customers?
Target new customers per month
‘Programming’
Learn to be very comfortable with a spreadsheet
Google Sheets is fine, excel is fancier
Basic Example Financial Model
Lemonade Stand 2.0
1 stand, staffed by 2 kids
Three sizes of lemonade, S, M, L
What are all the sources of revenue?
What are all the costs?
Lets lay it out in excel
More complicated example
Simlistic Paid Engine of Growth
More complicated: Stick Engine of Growth
Discussion about this course
Take 5 minutes to think and write down some notes
A friend asks if he/she should take this course. Would you recommend it? What would you say students need to do if they want to do well in the course?
If you were to take this course again, would you do anything differently? What and why?
What’s the relationship between natural ability and hard work? Can you still learn things for which you don’t think you have much natural ability? Can hard work overcome natural ability deficits?