The Basics of excel

formulas
Formula

 Is an expression that calculates the value of a cell

For Example:

=A1+A2+A3+A4 is a formula that adds up the value in

cells A1 to A4
Functions
 Is a predefined formula already available in excel. Functions
perform specific calculations in a particular order based on the
specified values, called arguments or parameters.

For example, instead of specifying each value to be summed like in the

above formula, you can use the sum function to add up a range of cells.

=sum (A2:A4)
Excel basic functions you should
definitely know

1. Sum – The sum functions is the first must-know formula in

Excel. It usually aggregates values from a selection of columns or rows
from your selected range.

=SUM(number1,[number2],…)
EXAMPLE
=SUM(B2:G2) – A simple selection that sums the values of a row

=SUM(A2:A8)- A simple selection that sums the values of a column

=SUM(A2:A7,A9,A12:A15) – A sophisticated collection that sums values from

range A2 to A7, skips A8, adds A9, Jumps A10 and A11, then finally adds from A12
to A15

=SUM(A2:A8)/20 – Shows you can also turn your function into a formula
1. Average – The Average function should remind you of
simple averages of data such as the average number of shareholders in
a given shareholding pool

=AVERAGE(number1,[number2],…)
EXAMPLE
=AVERAGE(B2:B11) – Shows a simple average, also similar to
(SUM(B2:B11)/10)
1. Count – The count function counts all cells in a given range
that contain only numeric values.

=COUNT(value1,[value2],…)
EXAMPLE
COUNT(A:A) – Counts all values that are numerical in A column. However, you
must adjust the range inside the formula to count rows.

COUNT(A1:C1) – Now it can count rows.

1. MAX & MIN – The MAX and MIN functions help
in finding the maximum number and the minimum number in a range
of values.

=MIN(number1,[number2],…)
EXAMPLE
=MIN(B2:B11) – Finds the minimum number between column B from B2 to row
11 in both column B
EXAMPLE
=MAX(B2:B11) – Similarly, it finds the maximum number between column B2
from B11 to row 11 in column B
OTHER IMPORTANT FORMULA FOR
BASIC OPERATION
=SUM(A1:110) adds all values from A1 to A10 in column A
=SUM(A1+A2+A3+A4+A5+A6+A7+A8+A9+A10) is Equal to (A1:A10)
=SUM(A1,A2,A5,A4) adds only specified cell
=(A2*A3) Multiple the values of A2 and A3
=(B1-B2) Subtract the values of B1 to B2
=(C1/C2) Divide the values of C1 to C2
Introduction To
Formulas
Common Arithmetic Operations

Symbol Function Sample application

+ Addition (1+1) or A1 Value+B1
Value
- Subtraction (2-2) or A1 Value-B1
Value
* Multiplication (3*3) or A1 value * B1
Value
/ division (4/4) or
% Percent
Λ Exponentiation
Comparison Operation

= Equal To
> Greater Than
< Less Than
>= greater than or equal to
<= less than or equal to
<>or>< Not Equal to
Order of Calculation

Formulas calculate values in cells in a specific order. The

parentheses and other mathematical operations used in a formula
are determined. Excel will evaluate the order of calculation in a
formula.

1. Exponent (Λ)
2. Multiplication (*) and Division (/)
3. Addition (+) and Subtraction (-)
Order of Calculation

Operations that are first in order are performed earlier in the

calculation. But when two operations in a formul have the same
level in the order of calculation, Excel evaluates them in
sequence from left to right.

You can use parentheses () to change the order that excel

performs calculation. Excel will calculate data inside the
parentheses first.
Order of Calculation

With this formula, you

cannot add the first two
values before
multiplying them
because based on the
order of calculation,
multiplication should
be performed first.
Order of Calculation

However, when you

put parentheses in the
addition operation,
Excel performs the
addition first.
Order of Calculation

When there is more

than one set of
parentheses in a
formula, the operation
in the inner
parentheses is
performed first.
Cell Reference
When entering formulas, use cell
references (Example:=A1+B1)
instead of actual data (Example:
=10+20) whenever possible. When
you need to change the number in a
formula, Excel will automatically
redo the calculations for you

The formula has only one arithmetic

operation applied, so the sequence of
computation is from left to right
Cell Reference
The formula applies two arithmetic
operators, addition and subtraction.
Since they are of the same level, they
are computed from left to right.
Cell Reference
The formula has parentheses. The
numbers within the parentheses
should be computed first, then
followed by the left to right order of
performing operations
Cell Reference
The formula has four arithmetic
operation. Since multiplication and
addition are on the same level of
precedence, and addition and
subtraction are also on the same level,
multiplication and division should be
computed first before addition and
subtraction
Cell Reference
Even though subtraction and addition
come first in the formula, division
and multiplication should be
performed first.
Cell Reference
Arithmetic operators can be placed
anywhere in a formula. The order of
precedence is always applied.
Cell Reference
Cell Reference