1. Introduction
Perhaps the most valuable feature of Excel is its ability to produce
mathematical outputs using the data in a workbook. This chapter reviews
several mathematical outputs that you can produce in Excel through the
construction of formulas and functions. The chapter begins with the
construction of formulas for basic and complex mathematical
computations. The second section reviews statistical functions, such as
SUM, AVERAGE, MIN, and MAX, which can be applied to a range of cells.
The last section of the chapter addresses functions used to calculate
mortgage and lease payments as well as the valuation of investments.
This chapter also shows how you can use data from multiple worksheets to
construct formulas and functions. These skills will be demonstrated in
the context of a personal cash budget, which is a vital tool for
managing your money for long-term financial security. The personal
budget objective will also provide you with several opportunities to
demonstrate Excel’s what-if scenario capabilities, which highlight how
formulas and functions automatically produce new outputs when one or
more inputs are changed.