Finance Case Study Wizardworks - Excel

Question

Case Study– WizardWorks

Andrew Howe owns and operates WizardWorks, an online seller of fireworks based in Peterborough, Ontario.  Andrew wants you to help him use Excel to develop an order form for his business.  The form needs to contain formulas to calculate the charge for each order.  The total charge is based on the quantity and type of items ordered plus the shipping charge and the 5% sales tax.  Orders can be shipped using standard 3 to 5 day shipping for $4.99 or overnight for $12.99.  Andrew is also offering a 3% discount for orders that exceed $200.  Both the shipping option and the discount need to be calculated using formulas based on values entered into the worksheet.
1.    Open Excel and create a new workbook.   
2.    Enter your name as the customer name and enter a date function that will always display the current date (ie. if the worksheet is opened tomorrow, it will display tomorrow’s date).        
3.    Enter an Order Number (in the appropriate location) and enter an address for the customer in the area for the Shipping Address.  Enter a type of shipping in the spot you have designated (ie. enter either “standard” or “overnight”).     
4.    Be sure to fill in the Shipping Option information and the possible Discount amount (using the case information provided above (ie. Standard = $4.99, Overnight = $12.99, Discount = 3%).    
5.    Enter details for a customer order.  Make up Item Numbers, Names of the items, Unit Prices, Quantity, and Total Item Charge information.  Be sure to include at least 2 items in your order  
6.    Enter an appropriate formula/function that will calculate the Total Item Charge (ie. it will use the Unit Price and the Quantity fields to determine the total charge for a particular item) for each item you entered.    
7.    Enter a formula/function that will calculate the Subtotal of the order.    
8.    Enter an appropriate function in the space for the Discount that will determine whether or not a discount of 3% applies and if so, it will display the value in dollar amounts, if not it will display “0”.  (see the case information above for the conditions of a discount).    
9.    Enter a formula that will calculate the After Discount amount.    
10.    Enter a formula that will calculate the Sales Tax amount.        
11.    Enter an appropriate function that will determine the Shipping cost (based on the type of shipping method that was entered for the order back in instruction #5).        
12.    Enter a formula that will calculate the total of the order.        


Summary:

The case study is about WizardWorks, a fireworks store based in Peterborough, Ontario. The proprietor, Andrew Howe wants an order form to be created. This order form must contain formulas which can calculate the total charge based on the size of the order, sales tax, shipping charges, discount for purchases exceeding $200 must also be added. This order form has been created using MS Excel.  

 

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