The lump sum amount that a series of future payments is worth now; used to calculate loan payments; also known as present value function Module 3

Transcription

1 Microsoft Excel Formulas Made Easy Key Terms Term Definition Introduced In Absolute reference A cell reference that is fixed to a specific cell and contains a constant value throughout the spreadsheet Module 1 Amortization table A chart used to calculate a monthly loan Module 3 Formulas Calculations that perform actions on data in a spreadsheet; typically begin with an "=" sign Module 1 Functions Pre-set formulas in several categories such as financial, logical, text, date, and time Module 1 FV function A pre-set formula that returns the future value of an investment based on periodic, constant payments and a constant interest rate; also known as future value function Module 3 IF function A logical value that tests if a certain condition is true; adds decision making to the spreadsheet Module 4 LEFT A function that returns a specified number of characters from the left of the text Module 5 LOWER A function that converts text to all lower-case Module 5 MID A function that returns a specified number of characters from the middle of the text Module 5 Order of operation A rule used in math and programming to determine which part of an equation should be solved first; the order is parenthesis, exponents, multiplication, division, addition, and subtraction Module 1 PMT function A pre-set formula allows the user to calculate the payment of a loan based on consistent payments and a consistent interest rate. Module 3 PROPER A function that converts the first letter of each word to upper-case and all other letters to lower-case Module 5 PV function The lump sum amount that a series of future payments is worth now; used to calculate loan payments; also known as present value function Module 3 Relative reference A cell reference where, when a formula is pasted to new locations, the referenced cells update to the nearest relevant location Module 1 RIGHT A function that returns a specified number of characters from the right of the text Module 5 Type The logical value that determines whether the payment is at the beginning of the period or at the end of the period Module 3 UPPER A function that converts text to all upper-case Module 5 VLOOKUP function Vertical lookup; allows the user to lookup values from a vertical data table Module 4 Glossary page 1

2 MICROSOFT EXCEL FORMULAS MADE EASY MODULE ONE - UNDERSTANDING THE LANGUAGE OF FORUMULAS AND FUNCTIONS Female: Module Number One. Understanding the Language of Formulas and Functions. We are going to start off by taking a look at formula basics. Even if you've used Excel for a while, you may have overlooked some of the key elements that are important to understand when creating formulas in Excel. Module One will provide a solid foundation for taking your skills to the next level. Let's start by taking a look at the two basic formula rules. Rule number one, is that all formulas begin with an equal side. And rule number two, all formulas follow the order of operation. So what exactly is the order of operation? Let's take a look. Here in my Excel spreadsheet, remember all formulas begin with an equal sign. I'm going to type in five plus six times 10. When I hit enter, what will my result be? Will it be 65 or will it be 110? I'm going to hit enter. And surprising enough, it's 65. It's because of the order of operation. Multiplication comes before addition. So you can see that the order of operation is very, very important. Let's take a look at the order. Parenthesis comes first in the order of operation. So anything in parentheses is calculated first. Then an exponent. Then multiplication. So in the example that we just looked at, it multiplied six times 10 first. Then division. Then addition. And then subtraction. You may remember this pneumonic from high school. Please excuse my dear Aunt Sally. Page 1

3 This is the order of operation. So you can see how important the order of operation is when we're creating formulas. How you can get around this is simply by using parentheses around whatever you need to calculate first. Since anything in parentheses calculates first in the order of operation, you're always safe. Let's now take a look at creating basic formulas. Let's say we want to add amount one to amount two. Remember all formulas begin with an equal sign, so we're going to type in an equal sign. Now, the next thing we're going to do, we're going to select the cell. Now you can literally type in the cell address, or when you select the cell, it automatically puts in the cell address for us. The cell address is C3. I'll them put in the plus sign, and then select D3. Notice how it also color codes the cell so we know exactly where our formula is pulling it's information. To complete our formula, all we need to do is hit enter. Now, the beautiful thing about using cell references such as C3 and D3 instead of hard numbers -- for example, if I typed in six. And I'm going to change this back real quick. Is that if I update 12 or I update six, watch my total. As soon as I change the number, I'm going to change six to 10, watch my total when I hit enter. Notice it automatically updates. Now, here's another tip you may or may not be aware of. We don't need to create the formula on every single row. Once we have created the formula in the first row, all we need to do is go down to the lower right- Page 2

4 hand corner and find what's called the auto fill handle. With the auto fill handle, we can click and drag to fill the information down. You'll notice now we have C3 plus D3, this is C4 plus D4, this is C5 plus D5. This is what's known as relative reference. When you use the fill handle down, it automatically assumes relative reference. So it automatically moves one row down. Let's look at another formula. We're going to once again start with an equal sign. I'm then going to take the price plus -- and in parenthesis, I'm going to have the price multiplied by the tax multiplier. Closed parentheses, plus -- and I'm going to select the shipping. We're using the parentheses to honor the order of operation. I'm going to hit enter. And now I'm going to find the fill handle in the lower right-hand corner. This time I'm going to double click instead of having to click and drag. And notice it copies the formula. However, it looks like we have an error here. I'm going to double click where I have the value. And let's see what the problem is. Notice, if we take a look at E6 and everything is color coded, notice that E6 here, it's trying to multiply it by the title shipping. That doesn't work too well. What we want is we want E4, but we want E4 only. Therefore, we have to make it an absolute reference. So how do we make it an absolute reference? Remember, by default, it is a relative reference. I'm going to hit escape. I'm going to go back up to my original formula. I'm going to put my curser inside of E4, and then I'm going to hit the F4 Page 3

5 function key. When I hit the F4 function key, it puts dollar signs around the E and the 4. This means that it's going to absolutely column E, absolutely row 4. E4 and E4 only. This makes it an absolute reference. Once I hit enter, and now use the fill handle down, notice it now works beautifully. Again, the advantage of using the cell address versus the actual number, is that if this task multiplier changes, it automatically updates every place where I've used that cell within a formula. Understanding relative and absolute reference is key to getting the most out of your formulas and functions when working with Excel. Speaking of functions, let's see how a function is slightly different than a formula. Now, if I was to build a formula here, I'd type in the equal sign. And then I would take D5 plus D6 plus D7. This can take a really, really long time. Formulas use our math operators; plus, minus, divide, etcetera. Functions are pre-defined formulas. Let's see how they work. Now, one of the most popular functions is the auto sum function. And I'm sure many of you are familiar with the auto sum function. Instead of adding each individual field, what we can do is select where we want our results to be, go up to the auto sum button, which is right up here on the home tab, on the far right-hand side of the home tab. I'm going to use the dropdown. Here's the auto sum, average, count numbers, max and min. Page 4

6 These are the most popular and most commonly used functions. We're going to go ahead and collect sum. You'll notice that you'll see the dancing ants around the range of cells. Here's what a function looks like. It starts with an equal sign. And then it has a word, for example, sum, average, min, max. There are literally hundreds of different functions built into Excel. And we're going to explore quite a few of them today. You'll notice inside of the parentheses, we have what's called an argument. And the argument for the auto sum is the range of cells. So you'll notice that we start at D5. The colon represents through D11. So what it's going to do is it's going to automatically add all of the cells between D5 and D11. All I have to do is hit enter, and I can also use my fill handle across, as well. And I'm done. Let's take a look at that one more time. I'm going to go up to H5. Once again, I'm going to go to the auto sum button. Now, you want to be really careful when you use the auto sum button. Some people click on the auto sum button and hit enter, and are not paying attention to what's actually selected. If you take a close look here, we do not want the employee number included in our total. Therefore, we will want to reselect. We can do that in a couple of ways. We can either go to the edge and you'll see this little handle, and we can click and drag. We can also literally click and drag to select the range as well. Page 5

7 Again, I'm going to hit enter. I can now use the fill handle down. And, boom, I am done. I've now created all the calculations very, very quickly and very easily. I'm now going to show you just a little tip on how you could do everything that we just did in two steps. Let me delete this and this. All I have to do is select my data, select where I want the totals, and hit the auto sum button and, boom, I've now added all my columns, I have now added all of my rows. Isn't that cool? Let's take a look at some of the other commonly used and most popular functions. Let's start with average. Here you'll notice I have average here. Let's say I want the average across the board. So what I'm going to do is select the auto sum button on my home tab, select average. Notice it automatically selects the range. This is not the range I want. I'm going to click and drag. Notice I've left out the totals. I want the average across all quarters, across all sales people. Then I can hit enter, and there's my average. If I want to format it, I can use the dollar sign here to format. Let's now take a look at the minimum. This is going to be the lowest value. Once again, I can go up to the auto sum button, and I'll select min, select my range, and hit enter. This will give me the lowest value. Once again, I'm going to format it. And let's take a look at maximum. Maximum will give you the largest value. So I'm going to use the dropdown, select max, select my range, hit enter, and this will give me my largest value. Page 6

8 So this is the smallest, or the minimum value across all quarters, across all sales people. This is the highest value among all sales people, among all quarters. Using functions is amazingly quick and easy. To complete this sheet, I'll go to commission. I can put equals, the total times the commission. Remember this is going to be an absolute value, so I'm going to hit the F4 function key. Notice it puts the dollar sign around the I and the 2. I'm going to hit enter, use the fill handle down, and I am done that quickly and that easily. So this concludes Module One, Understanding the Language of Formulas and Functions. {End of recording.} Page 7

9 MICROSOFT EXCEL FORMULAS MADE EASY MODULE TWO - SAVE TIME USING NAMES IN YOUR FORMULAS AND FUNCTIONS Female: Module Number Two. Save Time Using Names in Your Formulas and Functions. We are now going to take a look at saving time by naming cells and naming ranges for use in our formulas and functions. Naming cells and ranges is one of those hidden, underutilized features that will immediately save you time and frustration. Remember this worksheet that we looked at in Module One? Remember we created a formula, we put in equals, the price, plus -- open parentheses -- the price times the tax multiplier -- closed parentheses -- plus, and then the shipping, and enter? Remember we fill down and we had an error. Remember we had to make this an absolute reference by hitting the F4 function key. Now, I don't know about you, but I have a habit of doing that every single time that I'm creating a formula. I'll create the entire formula, I'll use the fill handle down, and I'll realize that I forgot to make it an absolute reference. Then I have to redo the formula, use the fill handle down. So it wastes a lot of precious time. We're going to take a look at how we can name a cell, and when we name a cell it becomes an absolute reference. So we no longer have to remember to hit the F4 function key. Let me show you how we do that. In order to name a cell, what I'm going to do is I'm going to select -- in this case I'm going to select E4. I want to make E4 an absolute reference, Page 1

10 because I want my formula to refer to that cell and that cell only, even when I use the fill handle down. What I'm going to do is go to this box right up here next to my formula bar. You'll notice this is called the name box. This is where we can name our cells and our ranges. All I need to do is click here and type in a name. So I'm going to type in the word tax. Now, you have to remember to hit the enter key. If you don't hit the enter key, it will not take. So once I've hit entered, this cell is now called tax. Now, when I click on E4 -- so I'm going to delete it here. And I click on E4, notice that instead of E4, it now says tax. This is an absolute reference. I'm going to hit enter. And now if I use my fill handle down, notice it works properly, because it's using the relative reference for all the other cells, but for E4. E4 is named. It's now called tax. And that becomes an absolute reference. Naming the cells has saved me a lot of time and frustration. And now I don't have to redo my formulas because I forgot to hit the F4 function key to make a cell an absolute reference. This is great. Now, now only can I use it on this sheet, but if I click on another sheet -- and let's say I'm just going to scroll over here. Let's say I wanted to figure out the tax here. I'm going to type in the word tax. This is my title here. Now I can type in equals. I can select the total sales. And I can multiply it. And all I need to do is type in the word tax. Notice as I'm typing in the word tax, it finds if there's any named cells or ranges here. I can simply hit Page 2

11 enter. And once again I can use the fill handle. So I can use tax throughout my entire workbook. Isn't that cool? And here's another key thing. If I go back up to the name box and I use the dropdown, you'll notice that tax exists here as well. Watch closely what happens when I click on tax. Notice it immediately goes to the cell that is named tax. So you can also use the naming cells to quickly move through your workbooks, especially if you have a lot of worksheets. Let's see how else we can use naming in our formulas and functions. In Excel, we can create one sheet that has all of our multipliers, or, for example, has a list of all of our fees. Let's say we're part of an advertising agency, and we have a placement charge every time we place a billboard or a blow-in card, etcetera. And here's our placement charges that we're going to use a little later on in our spreadsheet over here. What we're going to do is we're going to take a look at how we can name each one of these cells with only a couple of clicks. Notice here I also have mileage. You could have mileage, you could have different tax rates. If you set up one sheet that has all your multipliers, you can then use those multipliers throughout your entire workbook. Let's start by going to the formulas tab. On the formulas tab, the first thing that you'll see is the function library. This is where we can find a list of all of the possible functions within Excel. We'll take a look at that a little later on. Page 3

12 What we're going to focus on right now is in the center section, which is define names. You'll notice here we have the name manager, define name, use and formula, and creative from section. The first things that we're going to take a look at is create from section. Let's say that I want to name all of these cells, and I want to name them all at once. What I can do is I can select the label and the cell, click on create from section. Notice it says create names from section, create names from values in. And here we have them in the left column, so all we need is a checkmark right here next to left column. I'll click okay. And now you'll notice here I have my billboards, blow-in cards, hats, magazines, newspapers, pens, etcetera. So it's automatically named each one of these individual cells. Now, in my spreadsheet, now I have newspaper the cost each. If I'm not sure what it is, I can start typing in newspaper. And here's my main newspaper. And when I hit enter, it puts in that price. Here's my radio spot. So once again, I can start -- can type in equals and start typing in the radio spot. There's my radio spot. Hit enter, etcetera. So this is a great way to create a product list and any other type of multiplier. If you want to change or edit any of the names, you can go up to the name manager. Here it lists all of the names with their values, which cell it refers to, etcetera. If you want to edit, you can select and hit edit. You can even add additional comments here, as well. Page 4

13 If you want to delete a name, you can select the name and hit delete. It's going to ask you sure? And you can click okay. I'm going to click on close. And I'll just show you a real basic calculation that we can create using names. For example, I can put in equals. And if I go up to use formula, I will also get a dropdown of all of the named cells. So here, let's say I wanted billboard plus hats. When I hit enter, it will add the billboard and the hats. We are going to take a look at how you can use this naming feature throughout the other modules. Another place where naming is handy is if you want to name a database range. For example, here I have a list of employees. And let's say I wanted to do a mail merge in Word or let's say I wanted to import this data into Microsoft Access. If your header row -- and this is the header row right here, row number three. If your header row is not literally in row number one, you're going to have problems, both in mail merge and in importing data into Microsoft Access. If we want to eliminate that problem, if we still want to have a title but our header row is in any other row except for row one, what we can do is we can select and name the range, and then we can use the mail merge either with the range of cells, or we can import into Access the named range. So in order to name the range, the first thing that we need to do is select the entire block of data. Here's the keyboard shortcut that you should write down. Control, shift, and the 8 key. When you hit control, shift, and Page 5

14 the 8 key, notice it selects your entire block of data. That is the quickest and easiest way to select your database range. You can also do control, shift, arrow to the right and control shift and arrow down. That will also do the same thing. Once we have selected our entire block of data -- once again, we're going to go up to the name box. And here I'm going to type in employees. Going to hit enter. And now this entire block of data is a named range. You can use the name box to very quickly and easily select your database range. So I can be on any other worksheet, and if I use the dropdown and go to employees, book, it's going to select that block of data. And once again, it's set up for a Word mail merge as well as importing into Microsoft Access. Again, we will continue to use this naming feature throughout the other modules. So this completes Module Two, Saving Time Using Names in Your Formulas and Functions. {End of recording.} Page 6

15 MICROSOFT EXCEL FORMULAS MADE EASY MODULE THREE - EXPLORING EXCEL'S FINANCIAL FUNCTIONS Female: Module Number Three. Exploring Excel's Financial Functions. Now, let's dive into some more advanced formulas in Module Three where we will explore several of Excel's financial functions. We will look at calculating a loan repayment. We'll create an amortization table, and we'll identify the potential future value of an investment. Let's start by calculating a loan repayment. Here, we have a loan amount. We have an annual interest rate. And we have our terms in months. Let's say that we want to figure out what is our monthly payment. In order to do that, I'm going to go ahead and click in B8. And we're going to go over to the formula's tab. On the formula's tab, this first area is where we will find all of our functions. And here we have financial functions. If we use the drop down, you'll find a whole list of different financial functions. As you move your mouse over the financial functions, it will tell you what the function does. We're going to scroll down, and we're going to find PMT. So make sure you write PMT in your handout. The PMT is going to allow us to calculate the payment of a loan based on consistent payments and a consistent interest rate. Let's take a look at how this function works. All I have to do to select the function is click. And what it does is open up the paste function dialogue box. This dialogue box makes creating our functions incredibly easy, because it walks us through step by step what we need in order for this function to work properly. Page 1

16 You'll notice that the first thing that it's asking for is the rate. And you'll notice here I have the loan amount, annual interest rate, and term in months. And so it's asking for the rate. I'm going to select B4. Now, this is the annual interest rate. So I want to make sure that I divide it by 12, cause once again, it's the annual interest rate, and there's 12 months in a year. NPER. You'll notice down here it says this is the total number of payments for the loan. So the total number of payments is 48. So we'll select B5. PV stands for the present value. This is the total amount that the series of the future payments is worth now. So basically this is our loan amount. I'm going to go ahead and select B3. Now, you'll notice there's the possibilities for two other values. But you will also notice that they are not bold. If they are not bold, they are optional. If they are bolded like rate, and PR, and PV, then they are required for the function to work properly. FV is the future value or cash balance you want to obtain after the last payment is made. So it will assume zero if omitted. Let's say we just wanted to pay it down to 10,000 dollars, we could put 10,000 here. And then also there's the type. The type is a logical value. And it determines whether the payment is at the beginning of the period or at the end of the period. It will assume the end of the period, so it will assume zero if omitted. Page 2

17 Again, these two fields will allow you to add additional values to your function, but again, they're optional. We don't need to put them in. By default, the payments will be at the end of the period, and by default we're paying it down to zero. Once we've put in our values, we can then click okay. And notice here is our monthly payment, $ If we want our monthly payment to show up as a positive value versus a negative value, as we have here, you can double click. And right here at the end again, it will give us a little tip as to how this particular function is laid out. Remember we have the payment, the PMT, we have the rate, we have the number of payments, and we have the present value. If we put a minus sign before the present value and hit enter, that will turn it into a positive value versus a negative value. Let's figure out the total number of payments. If we put in an equal sign and we take the monthly payment and we multiply it by the number of months, that will gives us our total payment. If we want to find out how much we're paying in interest, we can put in an equal sign, select the total payment, minus, and then we can select the loan amount. And here you'll notice we're paying $5, in interest. Now, here's the cool thing. If we wanted to play around with the interest rate. Let's say we got a really good interest rate. So let's say it's only 4.5 percent. Watch down below and notice how all of the values change. If Page 3

18 we're paying an annual interest rate of only 4.5 percent, you'll notice that our total interest is much, much less. So the PMT function allows us to calculate a loan repayment. Let's take this a step further. Let's say that we wanted to create an amortization schedule. Now, you'll notice that you'll need to set up the table first. And you'll notice with the table, I have number of months. So, for example, 24 months, 36 months, 48 months, and 60 months. You'll notice along the left-hand side I have different percentage rates. Now, in the very corner of this table -- and this is how you need to set it up first if you wanted to create an amortization table. What we're going to do is we're going to put that payment function that we just took a look at, here in the upper corner. So, again, here we have the values over here equals PMT. Again, we're going to take the rate divided by 12. And we're going to look at the present value. And remember we're going to put a minus sign there so it shows up as a positive amount. Once we have set up our tables -- so we do need to set up the table manually first, but what we can do is we can have it fill in all of these numbers automatically for us. What we're going to do is we're going to select the entire table. Once you have selected the entire table, we're going to go to the data tab. From the data tab, we're going to go to the what if analysis. And from what if analysis, we're going to go to the data table. So you can see it's a little Page 4

19 hidden here. So it's under the data tab, what if analysis, and down to data table. Once I click on data table, it asks me for the row input cells and the column input cells. So if I take a look at each row, what do I want to change out in each row? I want to change out the term. So here in this row, I want to change it to 24 months, 36 months, etcetera. So I'm going to scroll over here. And so the row input cell is 48, because that is the number of months. And we want to change the number of months in each row. With the column input cell, we're going to take a look down, and what we want to change out in each of the columns is the rate. So we're going to select the rate. What's going to happen in the formula in the corner, it's going to change out anywhere where it says B6, it's going to change it to 24, 36, or 48. Anywhere where it sees B5 in this formula right here in the corner, it's going to change it out to 6 percent, 6.5, 7, etcetera. All I have to do is click okay, and I now, that quickly and that easily, have an amortization table. Isn't that cool? So we can now compare different interest rates over different terms. Let's now take a look at identifying the potential future value on an investment. I'm going to select C9. And what we're going to do is we're now going to figure out the future value. And the future value is the Page 5

20 function FV for future value. So in your handout, make sure you write out FV. Once again, we're going to go to the formula's tab. We're going to use the financial dropdown. Now, you can also use this insert function button right here. There's also an FX right here. If you click on the FX, this will bring up the familiar insert function dialogue box. And here I can select the category, for example, financial. And, again, what we're going to want to look for is FV, which is our future value. I'm going to click okay. And once again we're going to walk through the steps. The first thing that it's asking for is the rate. And so put our curser here. Here's the interest rate, is 6 percent. NPER. So NPER is the total number of payment periods in the investment. Notice I have the total number of years and I have the total number of months. In this case, I'm going to select the number of months. So we have 180 months. The next option is payment. This is the payment made each period. It cannot change over the life of the investment. So this is if you're putting a certain amount aside each month. So let's say here my monthly investment is 350 dollars. Now, notice you also have PV and type. And remember, these are optional, because they are not bold. Page 6

21 PV is the present value or the lump sum amount that a series of future payments is worth now. And it's zero if omitted. So if you don't have a starting investment, if you're starting from zero, you can leave it blank. But we already have a starting investment. We already have 350 dollars there. So we're going to go ahead and select the 350, which is NC3. And the type, once again, is the value representing the timing of the payment. Is the payment at the beginning of the period or at the end of the period? We're, once again, going to assume that it's at the end of the period, so we're going to leave it blank. Otherwise, we would put in one. Oh, and before I forget, the rate also needs to be divided by 12, because, once again, this is an annual interest rate versus a monthly interest rate. So I'm going to divide that by 12. I'm going to click okay. And if we put 350 dollars aside every month for 15 years, which is 180 months, the future value will be 102, So we have just taken a look at three of Excel's popular financial functions; the PV, which is calculating the loan payment. We took a look at creating the amortization table, using data, what if analysis, and creating a data table. And we just finished up by taking a look at identifying the potential future value of an investment. This wraps up Module Three, Exploring Excel's Financial Functions. {End of recording.} Page 7

22 MICROSOFT EXCEL FORMULAS MADE EASY MODULE FOUR - UNDERSTANDING THE IF AND V LOOK-UP FUNCTIONS. Female: Module Number Four. Understanding the IF and V Look-Up Functions. We are now going to take a look at two very popular functions. We are going to start with the IF function. The IF function is one of the most useful functions available in Excel. Using the IF function adds flexibility to your spreadsheet by introducing decision making. It works be testing to see if a certain condition is true. If it is, the function enters one result in a specific cell. If it's not, it enters a different result in that cell. The we'll take a look at the V look-up function. V look-up is one of Excel's most useful functions, and it's also one of the least understood. The Excel V look-up function can be used when you need to look up a value in a specific table and check it against the other data fields for comparison purposes. V look-up stands for vertical look-up, and is used to find specific data from a data sheet. By creating a sample table, generally referred to as a lookup table, you can extract info from it and compare it with the desired field to yield the required result. Now, before we dive into the IF and V look-up functions, let's make sure we understand the operators that we can use to create our logical functions. So here are the operators that we can use in creating our logical functions. Make sure you fill this out in your handout. Page 1

23 The first one is the greater than symbol. And you'll recognize the great than symbol, cause often greater than and less then, it's easy to get confused. It looks like an alligator mouth. That's how I always remember the greater than sign. The less than sign, smaller than, reminds me of a bird beak. So this is the less than symbol. You can also use greater than or equal to. If you use just the greater than, it will not include the number. For example, if I said greater than five, it would not include five. If I use greater than or equal to, then it will include five. You also have the less than or equal to. You also have the not equal to. Let's say that you only want the results that are not equal to five. Therefore, it will pull any value that is not equal to five. Also, if you want to have a blank -- so if you want to have something be an empty space or an empty cell, you can put in open and closed quotation marks. No space between the quotation marks. And this indicates a blank field. And we'll take a look at how to use all of these in just a moment. So make sure you have all of these written down in your handout. Great than, less than, greater than or equal to, less than or equal to, not equal to, and blank. So let's take a look here in Excel We're going to start over here under the made quota. And we're going to take a look at an IF statement. Let's say Page 2

24 we want it to say yes if they made quota and we want it to be blank if they did not make quota. We're going to go to the formula's tab. And in this first part of the formula's tab, you'll notice all of our functions divided into categories. So, for example, we have the auto sum functions, the recently used, financial, logical, text, etcetera. We're going to take a look at the logical functions. IF is a logical function. And here we'll find IF. I'm going to go ahead and click on IF. And it opens up the function's dialogue box. And here's the great thing about the function's dialogue box. It walks us through every step so all we need to do is fill in the blank. So, for example, the first thing that it's asking is for the logical test. The logical test is did they make their quota. So is their sales greater than or equal to their quota? So what we're going to do is select B5. Is B5 greater than or equal to their quota? Now, if it is equal to the quota, we want it to say yes. If it is not greater than or equal to the quota, then we want it to be left blank. So our logical test is if the sales is greater than or equal to the quota. If it is, if it's true, it will say yes. And if it's false -- remember to put in a blank, we put in open and closes quotation mark. I'm going to click okay. And notice this says yes, because they have made their quota. Page 3

25 I'm going to use the fill handle down. And notice if they made their quota, it says yes. If they have not made their quota, notice it's left blank. Isn't that nice? Again, the IF function adds that flexibility to your spread sheet by introducing this type of decision making. I'm going to double click, so we could see the actual function. Here's what the actual function looks like. Again, we have the IF. This is if we were going to type it in open parentheses. We have the B5 greater than or equal to C5, comma. Then the logical value if it's true. And notice we have this little tip right here which is really great. Value if it's true is yes. And value if it's no is the open and close quotation mark. Let's now take a look at the V look-up. And then we'll pull the IF statement and the V look-up together. I'm going to hit escape. And we're going to come back over here. Let's now take a look at the vertical look-up. Now, the vertical look-up is going to look up from a data table. And this is our data table down below. One of the things that I recommend, since we are going to be using the fill handle, is that we actually name our data range. So that's the first thing I'm going to do is I'm going to select our data range. I'm going to go up to the name box. And I'm just going to call it data and enter. So I'm going to use data in my function. And, again, we talked about naming in Module Two. This is how you can use naming in a function. Page 4

26 We're going to go up to bonus. And what we want to do is we want to figure out the bonus based on the quota. Now, couple key things before we start the V look-up. First of all, your table must be sorted. So notice we have the quota, and it's 2,000, 3,000, 4,000, 5,000, and 6,000. It must be sorted because it looks for the first value that it matches, and then it will stop. So make sure that your first column is sorted. I'm going to click on bonus. Another way to get to the paste function dialogue box. If you're not sure where it exists up here in one of these dropdowns, you can click on the FX. And we can look up V look-up. And here it is right here. We can select it and click okay. Sometimes that's a little faster if you don't know exactly what group your function is categorized under. It's actually under the database functions. So here are the arguments that we need to fill in for the V look-up. So the first value we need to fill in is the look-up value. What do we want to look up? And what we're going to look up is the quota. This is what we want to match to our table down below. So we're going to select our quota, which happens to be in C5. And then it's going to ask us for our table array. Remember we named this table array data. So what we're going to do is, on the formula bar, here we have use in formula, we have a dropdown of all of our named ranges and cells. And remember we called it data. So Page 5

27 we're going to select data. And it will put data in the table array. And that will select this block of data. Then it's going to ask for the column index number. The column index number is which column has the values that we want to pull up into this bonus. And the column that has the value is column two. This is column one. This is column two. So I'm going to put two. Now, these three fields are bold, so they are necessary values to our argument. Notice that the range look-up, however, is not bold. So this is optional. Now, the look-up range is a logical value to find the closest match in the first column, sorted in ascending order. Remember I mentioned that we needed to sort it first. It's going to assume true if omitted. So if you don't put anything in there, it's going to assume true, and it's going to find the closest match. If you want an exact match, if you want it to match exactly to the number, then you'll want to put in false. In this case, I'm just going to leave it blank. And I will click okay, and use the fill handle down. So you'll notice, based on the quota, this quota is 3,000. What it does is it looks down into the data table. Here's 3,000. It matches up that value and it pulls the bonus into this field, all right? Let's take a look at that again. So notice here I have 4,000. It looks up 4,000, and it pulls up 150. And 150 is what it puts in the bonus. Isn't that cool? Page 6

28 Now, we're going to combine the IF statement with the V look-up to create what's called a nested function, putting a function inside of a function. Let's say if they have met their quota, then we want it to pull up the bonus. And if not, once again, we want it left blank. So what I'm going to do is click into this first cell. I'm going to click right before the V look-up. I'm going to type in IF, open parentheses. And I want the close parentheses on the far outside. So I'm going to create the argument within the parentheses. So, again, this is a nested IF. This is the V look-up within the IF statement. I'm then going to see if the sales, the logical test, is greater than or equal to the quota, comma. If it is greater than or equal to the quota, I want it to do a V look-up. If not, I'll click right here in between the two parentheses. I'll put in a comma, open and close quotation mark, and enter. I will now use the fill handle down. And you can now see if they've met their quota, then the V look-up looks up the value from the bonus table. If they did not meet their quota, notice that it will be left blank. So that is how you can create a logical IF function as well as a V look-up or vertical look-up function that will allow you to look up values from a data table. We also took a look at creating a nested function and pulling the two of them together. This completes Module Four, Understanding IF and V Look-Up Functions. {End of recording.} Page 7

29 MICROSOFT EXCEL FORMULAS MADE EASY MODULE FIVE - USING TEXT FUNCTIONS TO CLEAN UP YOUR DATA Female: Module Number Five. Using Text Functions to Clean Up Your Data. To wrap things up in our last module, we will uncover some of the text functions we can use to clean up our data. These functions come in handy for reporting, especially if we are collecting data from other data sources. We are going to take a look first at the upper, lower, and proper case functions. And then we'll take a look at how we can pull out portions of our data using the left, right, and mid functions. So let's go over to Excel. Nowadays we often bring in a lot of data from outside data sources, especially if we're collecting data from the internet and people are typing in their names, addresses, etcetera. Sometimes, when the data comes in, it's not very clean. Sometimes everything's uppercase, sometimes everything's lowercase, sometimes it's all mixed up. So we're first going to take a look at how you can up your data for reporting purposes using the upper, lower, and proper function. What I'm going to do is I'm going to right click on column B and insert. You'll notice over here in the name, it's a big mess. Like I said, upper, lowercase, all over the place. So what we're going to do is we're going to first start with the uppercase. All we need to do is type in the equal sign, type the word upper, open parentheses. It's going to ask for the text. So we're going to select the cell that has the data, closed parentheses, and enter. Page 1

30 Upper will change everything into uppercase. Then, if we wanted our whole column to be uppercase, we can simply double click using our auto fill handle, and we've now cleaned up our data. I'm going to undo. And let's take a look at lower. Just like the upper makes everything uppercase, the lower makes everything lowercase. So we're going to type in equals, type in lower, open parentheses. We'll select the cell, so that's the text. Close parentheses and enter. That will make everything lowercase. When we're working with names, typically we want everything proper case. And proper case is capitalizing the first letter of every word. So I'm going to click here, type in equals, type in the word proper, open parentheses, select the cell that has our text, close parentheses, and enter. And there we have our proper case. Now, for this example, we probably want everything proper case. So I'm just going to delete everything here. Going to go up to my first row. I'm going to type in equals proper, open parentheses, once again select the text, close parentheses, and enter. And I'm going to double clip on my fill handle over here on the far right-hand side. Simply double click and fill in all of the names. Now, this is great if I'm just using that names for the reporting purposes. But if I wanted to, for example, use the text to column or any other feature, it would not work, because what's actually in the cell is a function and not the actual name. Page 2

31 So there's one last step that we need to do in order to clean up our data. The first thing I'm going to do is select the first cell, use control shift and arrow down to select all of my data. I'm going to use a control C to copy. I'm going to scroll back to the top. I'm going to right click on A4 and go down to paste special. So right click and paste special. And in the paste special dialogue box, what I want to paste is I want to paste the values. So I'm going to select values and click okay. And now I've nicely cleaned up all of my data. And notice, when I double click, what's in there is the actual name and not a function. I'm going to hit escape. I'm going to select column B, right click, and delete, cause I no longer need that column. Now I'm going to do a quick text to columns here cause you should never, ever, ever have the first and last name in the same field. And I know this isn't a function, but I'm just going to quickly show you how to do this. I'm going to insert two additional columns. I'm going to select column A. I'm going to go to the data tab. I'm going to go to text two columns. It's going to be delimited. The delimiter is a space. I'm going to click on next, and click on finish. It's going to give me a warning, do you want to replace the contents of the destination cells? Now, that's why I inserted two columns first. I'm going to click okay. And notice how it nicely divided my first and last name into separate columns. Page 3

32 I'm going to delete column C. I put that there just in case. And I'm going to put in first name and last name. And I'm going to narrow these down a bit. Now, if you have the first name and the last name into separate columns, I'm going to insert an additional column, how can I now pull these two names together for a report? So here I'm going to type in full name. I can type in an equal sign, select the first name, put in an ampersand sign, open quotation mark, space, close quotation mark, the ampersand sign, and the last name, all right? So equals -- and the cell that has the first name, and in quotation marks a space, and the cell that has the last name. That will give me the first and last name together. Or I can put in equals the last name and open quotation marks, a comma, and a space, close quotation mark, and then I can select the first name, and here I have the last name, comma, first name. So for reporting purposes, having the actual name -- first and last name or last name, comma, first name, might look better when you're creating a report. But to save your data, you should always have them in separate columns for sorting and filtering purposes. For example, if Melissa Smith -- if her first and last name's in the same field, we can only sort by Melissa, and we can't sort by Smith. If they're in two separate columns, we can now sort by Melissa or we can sort by Smith. Page 4

33 And, again, here we can pull the name together for reporting purposes. And I can use the auto fill handle down. And I have the first and last name for my entire database. Now, the last functions I want to show you are left, right, and mid. I'm going to go ahead and insert a column right here. And let's say here we have a Social Security number. You'll actually notice it's not a Social Security number, it's actually a phone number, cause we have an extra digit there. But we'll just pretend here it's a Social Security number. Let's start with equals left, open parentheses. It's going to ask for text, so that's the cell that has the text. I'm going to put a comma. And now notice it's asking for the number of characters. So I want -- so if I want the first three characters, I'll put in three, close parentheses, and enter. And that will give me the first three numbers. If I want the last four digits of the Social Security number, I can put in equals, right, open parentheses, select the cell that has the text, put in a comma. Number of characters will be four. Close parentheses and enter. That will give me the last four digits. If I wanted the middle digits, I can select equals mid, open parentheses. Again, I'm going to select the cell that has the text, a comma. And notice it's now asking for the start number. I'm going to start one, two, three, four, five characters in. So I'm going to put in a five and a comma. And then it's going to ask me for the number of characters. Typically in a Social Security number you would have two. In this case I have three, so Page 5

34 I'm going to put in three, close parentheses, and enter. And that will give you the middle three digits. Let's say we wanted to put the last four digits of the Social Security number, but we want to have the star, star, star, and then the last four digits. We can put in equals, open quotation mark, star, star, star, closed quotation mark, the ampersand sign, so you can use the ampersand sign to add text. Just like a plus sign adds numbers, the and sign adds or connects text strings together. So we have the three stars, the and, and then we want the right open parentheses, the cell that has the text, comma, and the number of characters for, close parentheses, and enter. And there we have the star, star, star, and the last four digits of our Social Security number. To finish it up, we can click and drag up. We can double click down. And we can put in a title, last four digits. So that's how we can use our text functions to clean up our data. We took a look at upper, lower and proper. We also took a look at using the ampersand sign to add text strings together. And we just finished up by taking a look at left, right, and mid. That completes Module Five, Using Text Functions to Clean Up Your Data. {End of recording.} Page 6