Create Macro to remove circular reference

J

James Brown

Hi,

I havea financial model for a project that has a 'managment cost' that
is a 3.0% function of the total project cost, which itself is a
function if the 'management cost' - hence this creates a circular
reference.

Can anyone please explain how a can create a marco to interpolate (sp?)
to arrive at the correct 'managemnt cost' which is 3.0% of the total
cost of the project.

Hope this make sense.

Thanks,

JB
 
E

Earl Kiosterud

James,

I think there's something wrong with the logic. If the management cost
includes 3%, it should only be added in once. Otherwise, you're adding 3%
of the management cost ad nauseum, and it'll eventually add up to 87 billion
dollars.
 
E

Earl Kiosterud

James,

It occurs to me that maybe you're starting with total project cost, and want
to see what's left after the management cost is removed. That'd be:

=TotalProjectCost/1.03 or
=TotalProjectCost/(1 + ManagementCost%)

Or do I still need more coffee?

Earl Kiosterud
mvpearl omitthisword at verizon period net
 
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