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Lesson 3.1 – How Formulas Work

Lesson 3.1 – How Formulas Work Formulas are the core of Excel. They allow you to perform calculations, analyze data, and automate tasks. Every formula in Excel follows a simple structure and always begins with an equal sign (=). Understanding how formulas work is essential before learning specific functions. 1. The Structure of a Formula All Excel formulas follow this basic pattern: =operand operator operand Example: =5 + 3 =A1 * B1 =SUM(A1:A10) Excel calculates the result and displays it in the cell, while the formula remains visible in the Formula Bar. 2. The Equal Sign (=) Every formula must start with = . Without it, Excel treats the entry as text. Examples: =10+5 → Excel calculates 10+5 → Excel shows “10+5” as text 3. Operators in Excel Operators tell Excel what type of calculation to perform. Operator Meaning Example + Addition =A1 + B1 - Subtract...