Calculations Section You should calculate intermediate results (see Figure 7-4) that will be used in the income and cash flow state- ments that follow. When called for, use absolute referencing properly. Values must be computed by cell for- mula; hard-code numbers in formulas only when you are told to do so. Cell formulas should not reference a cell with a value of "NA," which stands for "not applicable." An explanation of each item in this section follows the figure. B C D E 24 CALCULATIONS 2017 2018 2019 2020 25 CHARGER LOCATIONS 600 26 CHANGE IN UNITS SOLD (% POINTS) NA MARKET MOMENTUM EFFECT NA GAS PRICE EFFECT NA 29 NEW CHARGER LOCATION EFFECT NA 30 TOTAL CHANGE NA 31 UNITS SOLD - SPORT 53,000 32 UNITS SOLD - FAMILY 33 CHANGE IN SELLING PRICE (% POINTS) NA MARKET MOMENTUM EFFECT NA 2 2 2 GAS PRICE EFFECT NA NEW CHARGER LOCATION EFFECT NA TOTAL CHANGE NA SELLING PRICE - SPORT 75,000 39 SELLING PRICE - FAMILY 40 UNIT COST - SPORT 78,000 41 UNIT COST - FAMILY FIGURE 7-4 Calculations section Charger Locations-There were 600 locations at the end of 2017. The number of locations will increase each year by the related value in the Inputs section. Change in Units Sold (% Points)-Three factors will affect the number of sports cars and family sedans sold in a year: the market momentum effect, the cost of gasoline, and the number of new charger locations. Market Momentum Effect-This percentage increase is a value from the Inputs section, which can be echoed here. Gas Price Effect-The direction of the price of gas is a value from the Inputs section. If the price is expected to decrease, the effect is minus 5 percent (in other words, unit sales will decline by 5 percent in the year). If the price is expected to increase, the effect is plus 5 percent (unit sales will increase by 5 percent in the year). If prices are expected to be stable, there is no effect. 50