Beginner level · Module 4: Spreadsheet Basics in Excel · Lesson 2 of 3
Formulas and Basic Functions
Calculate totals, averages and differences with formulas that update automatically.
In this lesson you will
- Write formulas with operators and cell references
- Use SUM, AVERAGE, MIN, MAX and COUNT
Key concepts
formularelative referencefunctionfill handle
The lesson
A formula starts with = and calculates a result: =B2*C2 multiplies two cells. Because it refers to cells, the result updates automatically when a value changes — the main reason to use a spreadsheet instead of a calculator.
Functions are built-in formulas: SUM adds a range (=SUM(B2:B10)), AVERAGE finds the mean, MIN and MAX find the smallest and largest, COUNT counts numbers.
When you copy a formula down a column, its cell references adjust row by row. Check a few results by hand — a formula that refers to the wrong cell gives wrong answers silently.
Step by step
- Enter budget items and amounts in SSP.
- Calculate the total with SUM.
- Calculate the average daily spending and the largest expense.
- Change one amount and watch the totals update.
Practice activity
Build a monthly household or shop budget in SSP with totals, average daily spending and the largest expense.
Expected result: A budget whose totals update correctly when values change.
Check your understanding
-
Why use =B2+B3 instead of typing =500+700?
Show answer
The result updates automatically when the cell values change.
Taught live by an instructor — online or in person. Free course lessons are for self-study and do not lead to a certificate — see registration options.