Hi, my name is Dave Andrews. Today I'm going to show you how to draw a decision tree in Microsoft Excel. Let's go to our computer. We're going to open up Excel by clicking on the start button, go to all programs, let's find Microsoft Office, click on Excel. Now, Decision Tree, you basically start out with a base decision. Should I buy Maco Corp? That is going to be the decision that I would like to decide upon. I'm going to format this cell by giving it a simple border, just an outline border like that. So there is the decision I would like to make. So if I choose to go with yes, but these as little options here. I can go either route, I can say yes, or I can go no. So I'm going to say, if I do decide yes, then it's going to be, the cost will be one million dollars. If I say no, the cost will be zero. So, from that decision, I can then draw lines. I go to inert, shapes. I can just use a shape that's a line here, or maybe an arrow. I'm just going to go with a basic line, start it right here, go through my yes, go all the way to the cost, and insert another shape. It's a line starting from here, going through no, and that basically connects the cells here. I can also format these cells to give them an outline border as well. Now to finish out my decision tree, we're going to have over here, a total cost. Now there can be further decisions, yes or no past this, that cost or gain the company more, and further decisions past this that cost or gain the company more. At each one of these, we're going to put a cost of one million dollars. That's how much that decision would cost us to implement as it is, and this one would cost us zero as it is. In each row here, you're going to want to put the total cost for that entire row. It's that easy to build a Decision Tree in Excel. My name is Dave Andrews, and I've just showed you how to build a Decision Tree in Excel.