Creating a Simple Formula

A formula calculates values to return a result. All formulas begin with the equal sign (=) followed by arguments ”values (such as 147 or $10.00) and cell references (such as B3:F20) ”connected by arithmetic operators (+, -, *, and /). You enter and edit formulas just as you do labels and values ”in the formula bar or in the cell. By default, Excel displays the results of the formula in a cell , but you can change your view of the worksheet to display formulas instead of results.

Enter a Formula

Click a cell where you want to enter a formula.

Type an equal sign (=) to begin the formula. If you do not begin a formula with an equal sign, Excel displays the information you type; it does not perform the calculation.

Enter the first argument (a number or a cell reference). If the argument is a cell reference, type the cell reference, or click the cell.

If the formula can accept cell references, the cursor changes to a light gray cell-like shape.

Enter an arithmetic operator.

Enter the next argument.

Repeat steps 4 and 5 to complete the formula.

Click the Enter button on the formula bar, or press Enter.

The cell displays the formula result, and the formula bar displays the formula.

Did You Know?

You can select a cell to enter its address . To avoid careless typing mistakes, click a cell to insert its cell reference in a formula rather than typing its address.

For Your Information

Understanding Order of Precedence

Formulas containing more than one operator follow the order of precedence: exponentiation, multiplication and division, and then addition and subtraction. So, in the formula 5 + 2 * 3, Excel performs multiplication first and addition next for a result of 11. Excel calculates operations within parentheses first. The result of the formula (5 + 2) * 3 is 21.