Explanation
The Forecast End Date determines how far into the future Excel generates predictions.
For example:
Historical data:
Jan 2025 – Dec 2026
Forecast End Date:
Jun 2027
Excel forecasts:
Jan 2027 – Jun 2027
Confidence Interval
A forecast includes a range around the predicted value.
This helps show uncertainty around the forecast.
Example:
|
Month |
Forecast |
Lower Bound |
Upper Bound |
|
Jan-27 |
65,000 |
58,000 |
72,000 |
|
Feb-27 |
68,000 |
60,000 |
76,000 |
The actual future value may differ from the forecast.
Practice
Create a six-month forecast and examine the upper and lower boundaries.