**Solver** is a Microsoft Excel add-in program. **The Solver** is a part of the collection of **What-If Analysis** tools that we can use in Excel to test different situations. We can solve decision-making issues using the Excel tool **Solver** by finding the most perfect solutions. They also analyze how each possibility impacts the worksheetâ€™s output.

Novices might find this topic a little complicated, but the step-by-step instruction provided in this article will help you understand how the **Solver** tool can be employed to make decisions. Letâ€™s first examine how to make the **Solver** add-in available in Excel.

**Table of Contents**hide

## Download Practice Workbook

You may download the following Excel workbook for better understanding and practice yourself.

## How to Install Solver Add-in in Excel

You can access Solver by choosing **Data** âžª **Analyze** âžª **Solver**. Sometimes it may happen that this command isnâ€™t available, you have to install the **Solver** add-in using the following steps:

- First of all, choose the
**File**tab.

- Secondly, select
**Options**from the menu.

- Thus, the
**Excel Options**appears which is actually a dialog box. - Here, go to the
**Add-Ins**tab. - At the bottom of the
**Excel Options**dialog box, Â there is the**Manage**drop-down list. - From the list, select
**Excel Add-InsÂ**and then click**Go**.

- Immediately, the
**Add-ins**dialog box appears. - Then, place a checkmark next to
**Solver Add-In**, and then click**OK**.

** Another way:** Also, we can install the

**Solver**add-in using the

**Developer**tab. Just follow along.

- Initially, proceed to the
**Developer**tab. - Secondarily, click on
**Excel Add-ins**on the**Add-ins**group.

- Again, it opens the
**Add-ins**wizard. - After that, do the similar tasks that weâ€™ve done
**above**.

Once you activate the add-ins in your Excel workbook, they will be visible on the ribbon.

- Just move to the
**Data**tab. - And, you can find the
**Solver**add-ins on the**Analyze**group.

## Introduction to Solver Parameters

The Excel **Solver **determines the best solution to the formula stated in the objective cell.

Firstly, letâ€™s get introduced to the nomenclatures used in the **Solver Parameters** dialog box. While using the solver, thatâ€™ll be beneficial. These are the definitions for the terms:

It is simply a single cell with something like a formula in it. The constraint cellsâ€™ limitations are applied to the decision-based formula in the cell. The objective cellâ€™s value can be decreased, increased, or fixed at the provided threshold.__Objective Cell:__Variable cells are made up of variable data that the Solver modifies to accomplish the goal.__Variable Cells:__These are the constraints that the solution to the situation at hand must adhere to. On the other hand, these are the prerequisites that must be met.__Constraint Cells:__

## 2 Examples to Use Solver in Excel

Letâ€™s consider **2** different examples to understand the topic better. Here, weâ€™ll show the usage of the **Solver** tool to figure out two different types of scenarios. So letâ€™s explore them one by one.

Here, we have used *Microsoft Excel 365* version, you may use any other version according to your convenience.

__Example 01__: Using Solver to Interpret Linear Programming in Excel

Letâ€™s assume we have a decision model used in **ABC Electronics**. Here, each **LED TV** gives a **Profit** of $100, **Costs** $450, and **Space Needed** 0.6 units. The same parameters are given for **AC** and **Refrigerator** also. The company has $60000 as **Capital** and 100 units of space available in hand.

Now, weâ€™ll determine the optimum **Order Amounts** for the above three products which will make the maximum **Total Profit**. Also, wonâ€™t cross the boundary of **Capital Available**. So, without further delay, letâ€™s dive in!

**ðŸ“Œ**** Steps:**

- At the very beginning, select cell
**G7**and write down the following formula.

`=SUMPRODUCT(C7:E7,C10:E10)`

Here, **C7:E7** represents the **Cost** of the three products. And **C10:E10** represents the **Oder Amount** of the corresponding products. Hence, the **SUMPRODUCT function** takes these two arrays as an argument, multiplies the corresponding values of all the arrays, and then returns the sum of the products.

- Then, press
**ENTER**.

- Similarly, choose cell
**G8**and paste the formula below.

`=SUMPRODUCT(C8:E8,C10:E10)`

- After that, hit the
**ENTER**key.

- Consequently, go to cell
**H10**and put the following formula into the cell.

`=SUMPRODUCT(C5:E5,C10:E10)`

Actually, it calculates the **Total Profit** by multiplying the *Profit/Unit* with the *Order Amount*.

- Later, tap
**ENTER**.

- Now, we can check whether our formulas are working or not. To do this, we put some input in cells in the
**C10:E10**range. Thus, follow the image below to better understand the output.

From the picture above, we can see that, weâ€™ve got the *Total Profit* amount. But, this isnâ€™t optimized. We need the maximum result in this field. For this, weâ€™ll use the **Solver** tool. So, follow the steps below carefully.

- Firstly, jump to the
**Data**tab. - After that, select
**Solver**add-in on the**Analyze**group.

- Immediately, the
**Solver Parameters**dialog box opens. - At first, give the cell reference of
**H10**in the**Set Objective**box. - Secondly, select
**Max**in the**To**section. - Thirdly, put the cell reference of
**C10:E10**in the**By Changing Variable Cells**box. - Subsequently, click on
**Add**button.

- Suddenly, it opens the
**Add Constraint**input box. - Here, give the cell reference of
**G7:G8**in the**Cell Reference**box. - In the
**Constraint**box, put the cell reference of**I7:I8**. - Later, click
**OK**.

- Again, it returns us to the
**Solver Parameters**dialog box. - Here, we can see the constraint in the
**Subject to the Constraints**box that weâ€™ve just added. - After that, check the box of
**Make Unconstrained Variables Non-Negative**. - Lastly, select
**Simplex LP**from the**Select a Solving Method**drop-down list. - Correspondingly, select the
**Solve**button.

- Thus, the
**Solver Results**wizard opens. - Here, click
**OK**.

- Hence, we can see that Excel found the optimum solution for our problem.

So, if the company add *68* nos *LED TV* and *72* nos *Refrigerators* to its inventory, it will make the maximum profit.

**Read More:** **Some Practical Examples with Excel Solver**

__Example 02__: Utilizing Solver to Solve Algebraic Equations with Multiple Variables in Excel

Letâ€™s say we have the following three equations.

2x + 5y + 2z = -38

3x â€“ 2y + 4z = 17

-6x + y â€“ 7z = -12

Now, weâ€™ll solve the equations by using the **Solver** add-in. Thus, weâ€™ll determine the value of the three variables **x**, **y**, and **z**.

Admittedly, I have skipped the **process of solving the equation** which you may explore if you wish.

If you want to explore more about solving equations using the **Solver** add-in, you may go through this linked **article**.

**Read More: ****How to Use Excel Solver to Determine Which Projects Should Be Undertaken**

## Conclusion

I hope this article helps you understand what **Solver **in Excel is and how to use it perfectly. Donâ€™t forget to download the **Practice** file. If you have any queries, please leave a comment below. Also, if you want to read more articles like this, you can visit our website **ExcelDemy**, a one-stop Excel solution provider.

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