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What's the difference between an Excel formula and an Excel function?

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Technically speaking all formulas start with an equal sign.

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A formula can contain cell references, hardcoded values,

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it can have named ranges, and it can include functions. Functions are built in calculations that have

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been given a specific name.

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So for example the sum function.

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This is designed to sum values in a range or multiple ranges.

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Now a lot of people including myself might call the sum function the sum formula.

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It happens.

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Here's an example of a formula.

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Here's another one.

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A formula can include Math operators and comparative operators.

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You can add numbers.

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You can also add text to your formulas

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but when you add text to a formula you need to put it in quotation marks.

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As soon as you write a formula and you press Enter, Excel calculates the results.

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If the values that are connected to this formula change, Excel automatically changes the result.

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You don't have to refresh or do anything.

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This is just a standard Excel feature but it can be turned off.

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So in case you receive a spreadsheet and it looks like that calculations aren't updating it could be

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that it's set to manual.

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So go to the formulas tab, calculation options, and make sure you have a checkmark for automatic.

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It's good practice to keep your workbooks on automatic.

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Otherwise you might be reporting wrong results.

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We're going to be starting off this section by covering the order of precedence when it comes to calculations

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in Excel formulas.

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This is important so you know how to use brackets effectively when you're writing formulas.

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You'll also learn an essential rule when it comes to creating Excel spreadsheets.

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What's best practice and what not to do when you create reports.

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You'll get started writing simple formulas but here's the thing.

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Simple formulas can also give wrong results. It's important to understand absolute and relative referencing.

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What circular references mean and how to use named ranges in your formulas.

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Lots of important points are coming up in this section.

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So let's jump in.