Answer:

If you're new to Excel for the web, you'll soon find that it's more than just a grid in which you enter numbers in columns or rows. Yes, you can use Excel for the web to find totals for a column or row of numbers, but you can also calculate a mortgage payment, solve math or engineering problems, or find a best case scenario based on variable numbers that you plug in.

Excel for the web does this by using formulas in cells. A formula performs calculations or other actions on the data in your worksheet. A formula always starts with an equal sign (=), which can be followed by numbers, math operators (such as a plus or minus sign), and FUNCTIONS, which can really expand the power of a formula.

For example, the following formula multiplies 2 by 3 and then adds 5 to that result to come up with the answer, 11.

=2*3+5

This next formula uses the PMT function to calculate a mortgage payment ($1,073.64), which is based on a 5 percent interest rate (5% divided by 12 months equals the monthly interest rate) over a 30-year period (360 months) for a $200,000 loan:

=PMT(0.05/12,360,200000)

Here are some additional examples of formulas that you can enter in a worksheet.

=A1+A2+A3 Adds the values in cells A1, A2, and A3.

=SQRT(A1) Uses the SQRT function to return the square root of the value in A1.

=TODAY() Returns the current date.

=UPPER("hello") Converts the TEXT "hello" to "HELLO" by using the UPPER worksheet function.

=IF(A1>0) Tests the cell A1 to determine if it contains a value greater than 0.

The parts of a formula

A formula can also contain any or all of the following: functions, references, operators, and constants.

Parts of a formula

1. Functions: The PI() function returns the value of pi: 3.142...

2. References: A2 returns the value in cell A2.

3. Constants: Numbers or text values entered directly into a formula, such as 2.

4. Operators: The ^ (CARET) operator raises a number to a power, and the * (asterisk) operator multiplies numbers.