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    Excel 2016 - Creating More Complex Formulas

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    kookie bunny
    Excel follows the order of operations (PEMDAS) when evaluating complex formulas containing multiple operations. It will first perform calculations in parentheses, then exponents, multiplication/division (left to right), and finally addition/subtraction (left to right). To correctly calculate sales tax on catering invoices, the formula =(D3+D4+D5)*0.075 uses parentheses to first add the item prices before multiplying by the tax rate of 0.075. Properly applying the order of operations ensures accurate results.

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    Excel 2016 - Creating More Complex Formulas

    Uploaded by

    kookie bunny
    56 views11 pages
    Excel follows the order of operations (PEMDAS) when evaluating complex formulas containing multiple operations. It will first perform calculations in parentheses, then exponents, multiplication/division (left to right), and finally addition/subtraction (left to right). To correctly calculate sales tax on catering invoices, the formula =(D3+D4+D5)*0.075 uses parentheses to first add the item prices before multiplying by the tax rate of 0.075. Properly applying the order of operations ensures accurate results.

    Original Title

    Lecture 16 - Creating more complex formula

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    Excel follows the order of operations (PEMDAS) when evaluating complex formulas containing multiple operations. It will first perform calculations in parentheses, then exponents, multiplication/division (left to right), and finally addition/subtraction (left to right). To correctly calculate sales tax on catering invoices, the formula =(D3+D4+D5)*0.075 uses parentheses to first add the item prices before multiplying by the tax rate of 0.075. Properly applying the order of operations ensures accurate results.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    56 views11 pages

    Excel 2016 - Creating More Complex Formulas

    Uploaded by

    kookie bunny
    Excel follows the order of operations (PEMDAS) when evaluating complex formulas containing multiple operations. It will first perform calculations in parentheses, then exponents, multiplication/division (left to right), and finally addition/subtraction (left to right). To correctly calculate sales tax on catering invoices, the formula =(D3+D4+D5)*0.075 uses parentheses to first add the item prices before multiplying by the tax rate of 0.075. Properly applying the order of operations ensures accurate results.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 11

    Excel 2016 - Creating More Complex Formulas

    Introduction
    • You may have experience working with formulas that contain only one
    operator, such as 7+9. More complex formulas can contain several
    mathematical operators, such as 5+2*8. When there's more than one
    operation in a formula, the order of operations tells Excel which operation
    to calculate first. To write formulas that will give you the correct answer,
    you'll need to understand the order of operations.
    •
    The order of operations
    • Excel calculates formulas based on the following order of operations:
    • Operations enclosed in parentheses
    • Exponential calculations (3^2, for example)
    • Multiplication and division, whichever comes first
    • Addition and subtraction, whichever comes first
    • A mnemonic that can help you remember the order is PEMDAS,
    or Please Excuse My Dear Aunt Sally.
    Creating complex formulas
    • In the example below, we'll demonstrate how Excel uses the order of operations to
    solve a more complex formula. Here, we want to calculate the cost of sales tax for a
    catering invoice. To do this, we'll write our formula as =(D3+D4+D5)*0.075 in cell D6.
    This formula will add the prices of our items, then multiply that value by the 7.5% tax
    rate (which is written as 0.075) to calculate the answer.
    Creating complex formulas
    • Excel follows the order of operations and first adds the values inside the
    parentheses: (45.80+68.70+159.60) = 274.10. It then multiplies that
    value by the tax rate: 274.10*0.075. The result will show that the sales
    tax is $20.56.
    Creating complex formulas
    • It's especially important to follow the order of operations when creating a formula.
    Otherwise, Excel won't calculate the results accurately. In our example, if
    the parentheses are not included, the multiplication is calculated first and the result is
    incorrect. Parentheses are often the best way to define which calculations will be
    performed first in Excel.
    To create a complex formula using the
    order of operations:
    In the example below, we'll use cell references along with numerical values to
    create a complex formula that will calculate the subtotal for a catering invoice.
    The formula will calculate the cost of each menu item first, then add these values.
    1.Select the cell that will contain the formula. In our example, we'll select
    cell C5.
    To create a complex formula using the
    order of operations:
    • Enter your formula. In our example, we'll type =B3*C3+B4*C4. This
    formula will follow the order of operations, first performing the
    multiplication: 2.79*35 = 97.65 and 2.29*20 = 45.80. It then will add
    these values to calculate the total: 97.65+45.80.
    To create a complex formula using the
    order of operations:
    • Double-check your formula for accuracy, then press Enter on your
    keyboard. The formula will calculate and display the result. In our example,
    the result shows that the subtotal for the order is $143.45.
    To create a complex formula using the
    order of operations:
    • You can add parentheses to any equation to make it easier to read. While
    it won't change the result of the formula in this example, we could enclose
    the multiplication operations within parentheses to clarify that they will
    be calculated before the addition.
    To create a complex formula using the
    order of operations:
    • Excel will not always tell you if your formula contains an error, so it's up to
    you to check all of your formulas. To learn how to do this, you can read
    the Double-Check Your Formulas lesson from our Excel Formulas tutorial.

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