All,
Looking for some help in excel.
Trying to do an interpolation model on returns based off of volume.
Pretend I'm selling 3 widgets with a return of 4.402% and when I sell 4 widgets I get a return of 26.626%. How can I interpolate the data in excel to give me 3.25, 3.875, etc.
I've tried scouring the internet, but the best answers I've received are to use the forecast / trend formulas..
Any thoughts?
| +465 | Don’t work at UBS - UBS Sucks | 50 | 9m |
| +229 | Should My Intern Get a Return Offer? | 58 | 2d |
| +85 | UBS Accused of Favoring H-1B Workers While Cutting U.S.-Born Employees | 12 | 2m |
| +75 | Incompetent and annoying co-intern | 23 | 3h |
| +67 | Getting Laid in IB? | 28 | 2d |
| +66 | Intern keeps sleeping at work - what to tell them | 28 | 6h |
| +55 | Living in greenwich as an analyst? | 12 | 2h |
| +39 | NYC Associate Budget | 14 | 7h |
| +36 | Nauseous every morning for past 3 years in IB, anyone else? | 21 | 1d |
| +35 | Quick Thoughts on CVC AI Sale Process | 7 | 9h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Either this is a fantastically simple question, or you're leaving out information.
Just in case it's fantastically simple, think back to 8th grade Algebra, and "y = mx + b". If you're trying to do a linear interpolation, what you need to find is the slope, which as we all remember, is "(y2 - y1) / (x2 - x1)", and y-intercept. Since you're trying to solve for "% return" we know that "# of widgets" is your dependent variable.
Now, we calculate the slope: (26.626% - 4.402%) / (4 - 3) = 0.22224 And now we calculate the y-intercept: 26.626% = (0.2224)*(4) + b -> b = -0.6227
And here we have your linear interpolation equation: y = 0.22224*x - 0.6227 which will output a return for any number or fraction of widgets you can imagine.
Does that solve your problem? Or did you leave out some information about the widgets and/or model constraints or something? I'm fairly certain I'm missing something here.
Lineint function
Modi quia illum rem alias repellendus quia vel. Excepturi voluptatum quia ut et et officiis rem. Aspernatur est est est autem impedit ad rerum. Minus quia debitis voluptatibus sequi consequatur. Nobis omnis perferendis fuga tempore quia ut.
Est voluptas perspiciatis officiis nesciunt assumenda error omnis fuga. Aut doloremque vitae optio magni ab eaque. Voluptates dolorem consequatur eius odit. Unde optio in non mollitia deserunt. Molestias ipsa est vitae saepe dolorem esse maxime fugiat.
Voluptatem quia tenetur et qui est iste. Minus dignissimos aperiam ut vero. Et et autem qui magni. Maiores perspiciatis suscipit ipsam vitae et rerum.
Voluptatem incidunt dolore nulla sequi autem non. Cupiditate iure ea consequatur ex quidem quidem repellendus. Reprehenderit voluptate maiores possimus voluptatibus et est. Fugiat eius ratione quia ea et ut. Adipisci velit voluptas error quia. Officiis voluptatum omnis ipsum.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...