One of the most powerful features in Excel is the ability to calculate numerical information using formulas. Just like a calculator, Excel can add, subtract, multiply, and divide. In this lesson, we'll show you how to use cell references to create simple formulas.
Excel uses standard operators for formulas, such as a plus sign for addition (+), a minus sign for subtraction (-), an asterisk for multiplication (*), a forward slash for division (/), and a caret (^) for exponents.
All formulas in Excel must begin with an equals sign (=). This is because the cell contains, or is equal to, the formula and the value it calculates.
While you can create simple formulas in Excel manually (for example, =2+2 or =5*5), most of the time you will use cell addresses to create a formula. This is known as making a cell reference. Using cell references will ensure that your formulas are always accurate because you can change the value of referenced cells without having to rewrite the formula.
By combining a mathematical operator with cell references, you can create a variety of simple formulas in Excel. Formulas can also include a combination of cell references and numbers, as in the examples below:
In our example below, we'll use a simple formula and cell references to calculate a budget.
Excel will not always tell you if your formula contains an error, so it's up to you to check all of your formulas.
Rather than typing cell addresses manually, you can point and click on the cells you want to include in your formula. This method can save a lot of time and effort when creating formulas. In our example below, we'll create a formula to calculate the cost of ordering several boxes of plastic silverware.
Formulas can also be copied to adjacent cells with the fill handle, which can save a lot of time and effort if you need to perform the same calculation multiple times in a worksheet.
Sometimes you may want to modify an existing formula. In the example below, we've entered an incorrect cell address in our formula, so we'll need to correct it.
If you change your mind, you can press the Esc key on your keyboard to avoid accidentally making changes to your formula.
To show all of the formulas in a spreadsheet, you can hold the Ctrl key and press ` (grave accent). The grave accent key is usually located in the top-left corner of the keyboard. You can press Ctrl+` again to switch back to the normal view.
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