Advance Excel Course in Hindi

# Excel Creating Formulas

**Introduction**

In this tutorial, we will discuss the various step by step methods of creating formulas in excel properly. The steps for creating or using a formula differ for each excel function as each function requires different arguments. However, the basic concept remains the same. Before we discuses the methods of creating a formula, let us briefly understand the definition of an excel formula.

**What is the Formula in Excel?**

An Excel Formula is nothing but an introductory statement consisting of one or more 'operands' and 'operators'. The Formulas in excel help us specify the relationship between the value recorded within the cells in the worksheet, perform mathematical calculations on the recorded values and retrieve the desired results in a resultant cell.

One essential point to note while using the formulas in excel is that we must always start them with an equal sign (=). If we don't start the formulas with an equal sign, they are not treated as formulas but only as a text string.

**The Difference Between a Formula and Function**

An excel formula is a statement or an equation structured manually by a user to perform any calculation.

At the same time, The excel function is the pre defined calculation in the spreadsheet program. We can use more than one function in a formula.

Example of Formula: =A1+A2+A3+A4

Example of Function: =SUM(A1:A3)

**How to Create a Formula in Excel?**

There are several methods we can use to create formulas in excel. We discuss the most common methods below, and each method has its advantages. All of the following methods for creating formulas work in all versions of excel.

**Creating formulas using Constants and Operators**

When creating formulas in excel, constants are numbers, dates or text values involved within the formula. In addition, the operators are any sign, symbol, or character that refers to an action or operation to be performed. The most common arithmetic operations include addition, subtraction, multiplication, division, exponentiation and modulus operations.

To create a basic excel formula in an excel cell using the constants and operators, we must perform the steps below.

First, we need to select a cell to record the output or result.

Next, we must type an equal symbol (=) and enter the formula equation to perform the calculation.

Lastly, we must press the enter key on the keyboard to obtain the results.

Creating an excel formula using constants and operators is different from writing an equation in maths. The fundamental difference is that we start the formula with an equal sign in excel, while in mathematics. We usually insert an equal sign at the end.

For example, if we want to add two numbers (3 and 5) an excel formula will look like =3+5. However, in maths, we use 3+5 = . When we insert an excel formula in an excel cell and press the enter key. The result of the formula appears like the following image.

Instead of typing the numbers directly into the Formula equation, we can also refer to the corresponding cells that contain the required numbers or values in the sheet. It is more convenient and easier to use cell reference in formulas when working with large data sets.

Furthermore, one advantage of using a cell reference is that the formula results are automatically updated in real time when ever we change the value in the corresponding cell / range.

To create a formula using the cell references, we can perform the below steps:

First, we need to select a cell to record the output

Next, we enter the equal sign (=). After that, we need to type the first cell that contains the number. It is not mandatory to always type the cell reference. Instead, we can also click on the specific cell, and excel will automatically fetch the cell reference of that cell in the applied formula. This eliminates human error.

In the next step, we must type the operator sign we want to apply for the formula.

For example: If we want to sum up the first and second cell values, we must use the addition sign (+) between them.

After entering the operator sign, we need to type the cell reference of another number that we want to include in our formula.

Lastly, we must press the enter key to obtain the formula result.

Suppose, our example sheet contains two numbers 3 and 5, in the cells A1 and B1. we need to calculate the sum of these values in cell C1 using the formula containing cell references. So, we have to apply the following formula in a Cell C1:

=A1 + B1

After we press the Enter key, The result will appear in a Cell C1, as shown below

If the values are recorded in more than two cells, we can use the cell reference of each cell similarly. For example: If we have values in cells A1, B1 and C1, we can add their corresponding values using the formula =A1+B1+C1. However, if several cells are required in a formula. It is better to try using existing functions and ranges of cells.

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