Risk in Excel

Guide to Using

@RISK

Risk Analysis and Simulation Add-In for Microsoft Excel

®

Version 5.5 February, 2010

Palisade Corporation 798 Cascadilla St. Ithaca, NY USA 14850 (607) 277-8000 (607) 277-8001 (fax) http://www.palisade.com (website) sales@palisade.com (e-mail)

Copyright Notice

Copyright © 2010, Palisade Corporation.

Trademark Acknowledgments

Microsoft, Excel and Windows are registered trademarks of Microsoft Corporation. IBM is a registered trademark of International Business Machines, Inc. Palisade, TopRank, BestFit and RISKview are registered trademarks of Palisade Corporation. RISK is a trademark of Parker Brothers, Division of Tonka Corporation and is used under license.

Welcome

@RISK for Microsoft Excel

Welcome to @RISK, the revolutionary software system for the analysis of business and technical situations impacted by risk! The techniques of Risk Analysis have long been recognized as powerful tools to help decision-makers successfully manage situations subject to uncertainty. Their use has been limited because they have been expensive, cumbersome to use, and have substantial computational requirements. However, the growing use of computers in business and science has offered the promise that these techniques can be commonly available to all decision-makers. That promise has been finally realized with @RISK (pronounced “at risk”) — a system which brings these techniques to the industry standard spreadsheet package, Microsoft Excel. With @RISK and Excel any risky situation can be modeled, from business to science and engineering. You are the best judge of what your analysis needs require, and @RISK, combined with the modeling capabilities of Excel, allows you to design a model which best satisfies those needs. Anytime you face a decision or analysis under uncertainty, you can use @RISK to improve your picture of what the future could hold.

Why You Need Risk Analysis and @RISK

Traditionally, analyses combine single “point”...