In this workout, we'll practice using the choose function. We have three scenarios, a best case, base case and worst case and each of those have differing sales growth of 10%, 6%, and 3%. I start my choose function with it asking me for an index number. So, I could hard code this in. I could say I want the first of the scenarios. It then asks, where are the values from? Well, they're gonna come from C7, C8, and C9. I close the brackets, I press enter, and that returns 10%. I could change scenarios by going into the formula and changing that one to a two, return to the 6% and I could change it to the third scenario being the 3%. However, it's a little bit difficult if we've hard coded that scenario chooser into the formula. So, instead, what we might do is make that scenario picker external to the formula, make it a cell reference. We've got that in cell C4. So, at the moment, the scenario picker is going for number one, it should return 10%, and press enter and it does. I can now change that one to a two, and the choose function does change to the base case. If I change the scenario picker to three, it goes for the worst case, 3%. Next up, how do I add values to my list? Let's say my model changes, I now want to add in an alternative case with 2%. I've added that immediately underneath, but when I go into my formula, it hasn't captured that fourth case. So, I now need to go in and I need to manually add that reference now to cell C10.

Now, C10 has been included, I can now go change the scenario picker to include number four and it does work. So, a simple formula, but a little bit inflexible if your model or scenarios changes.