Top 25 Formulas in Excel You Should Know

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Shruti M September 24, 2020

Microsoft Excel is the go-to tool for working with data. There are probably a handful of
people who haven’t used Excel, given its immense popularity. Excel is a widely used
software application in industries today, built to generate reports and business insights.
Excel supports several in-built applications that make it easier to use. 

One such feature that allows Excel to stand out is - Excel formulas. Here, we will look into
the top 25 Excel formulas that one must know while working on Excel. The topics that we
will be covering  in this article are as follows:

What is Excel Formula?

Excel Formulas and Functions

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What is Excel Formula? 

In Microsoft Excel, a formula is an expression that operates on values in a range of cells.
These formulas return a result, even when it is an error. Excel formulas enable you to
perform calculations such as addition, subtraction, multiplication, and division. In addition
to these, you can find out averages and calculate percentages in excel for a range of
cells, manipulate date and time values, and do a lot more.

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Formulas in Excel: an overview

Choose a cell.
To enter an equal sign, click the cell and type =.
Enter the address of a cell in the selected cell or select a cell from the list.
You need to enter an operator.
Enter the address of the next cell in the selected cell.
Press Enter.

There is another term that is very familiar to Excel formulas, and that is "function". The
two words, "formulas" and "functions" are sometimes interchangeable. They are closely
related, but yet different. A formula begins with an equal sign. Meanwhile, functions are

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used to perform complex calculations that cannot be done manually. Functions in excel
have names that reflect their intended use.

The example below shows how we have used the multiplication formula manually with the
‘*’ operator.

Fig: Microsoft Excel Formula

This example below shows how we have used the function - ‘PRODUCT’ to perform
multiplication. As you can see, we didn’t use the mathematical operator here. 

Fig: Microsoft Excel Function

Excel formulas and functions help you perform your tasks efficiently, and it's time-saving.
Let's proceed and learn the different types of functions available in Excel and use relevant
formulas as and when required.

Excel Formulas and Functions

There are plenty of Excel formulas and functions depending on what kind of operation
you want to perform on the dataset. We will look into the formulas and functions on
mathematical operations, character-text functions, data and time, sumif-countif, and few
lookup functions. 

Let’s now look at the top 25 Excel formulas you must know. In this article, we have
categorized 25 Excel formulas based on their operations. Let’s start with the first Excel
formula on our list.

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1. SUM

The SUM() function, as the name suggests, gives the total of the selected range of cell
values. It performs the mathematical operation which is addition. Here’s an example of it
below:

Fig: Sum function in Excel

As you can see above, to find the total amount of sales for every unit, we had to simply
type in the function “=SUM(C2:C4)”. This automatically adds up 300, 385, and 480. The
result is stored in C5. 

2. AVERAGE

The AVERAGE() function focuses on calculating the average of the selected range of cell
values. As seen from the below example, to find the avg of the total sales, you have to
simply type in “AVERAGE(C2, C3, C4)”. 

Fig: Average function in Excel

It automatically calculates the average, and you can store the result in your desired
location.

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3. COUNT
The function COUNT() counts the total number of cells in a range that contains a number.
It does not include the cell, which is blank, and the ones that hold data in any other format
apart from numeric. 

Fig: Microsoft Excel Function - Count

As seen above, here, we are counting from C1 to C4, ideally four cells. But since the
COUNT function takes only the cells with numerical values into consideration, the answer
is 3 as the cell containing “Total Sales” is omitted here. 

If you are required to count all the cells with numerical values, text, and any other data
format, you must use the function ‘COUNTA()’. However, COUNTA() does not count any
blank cells.

To count the number of blank cells present in a range of cells, COUNTBLANK() is used.  

4. SUBTOTAL
Moving ahead, let’s now understand how the subtotal function works. The SUBTOTAL()
function returns the subtotal in a database. Depending on what you want, you can select
either average, count, sum, min, max, min, and others. Let’s have a look at two such
examples.

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Fig: Subtotal function in Excel

In the example above, we have performed the subtotal calculation on cells ranging from
A2 to A4. As you can see, the function used is “=SUBTOTAL(1, A2: A4), in the subtotal
list “1” refers to average. Hence, the above function will give the average of A2: A4 and
the answer to it is 11, which is stored in C5.

Similarly, “=SUBTOTAL(4, A2: A4)” selects the cell with the maximum value from A2 to
A4, which is 12. Incorporating “4” in the function provides the maximum result. 

Fig: Count function in Excel

5. MODULUS
The MOD() function works on returning the remainder when a particular number is
divided by a divisor. Let’s now have a look at the examples below for better
understanding.

In the first example, we have divided 10 by 3. The remainder is calculated using the
function “=MOD(A2,3)”. The result is stored in B2. We can also directly type
“=MOD(10,3)” as it will give the same answer. 

Fig: Modulus function in Excel

Similarly, here, we have divided 12 by 4. The remainder is 0 is, which is stored in

B3. 

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Fig: Modulus function in Excel

6. POWER

The function “Power()” returns the result of a number raised to a certain power. Let’s have
a look at the examples shown below:

Fig: Power function in Excel

As you can see above, to find the power of 10 stored in A2 raised to 3, we have to type “=
POWER (A2,3)”. This is how power function works in Excel.

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7. CEILING
Next, we have the ceiling function. The CEILING() function rounds a number up to its
nearest multiple of significance. 

      

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Fig: Ceiling function in Excel

The nearest highest multiple of 5 for 35.316 is 40.

8. FLOOR

Contrary to the Ceiling function, the floor function rounds a number down to the nearest
multiple of significance.

Fig: Floor function in Excel

The nearest lowest multiple of 5 for 35.316 is 35.

9. CONCATENATE

This function merges or joins several text strings into one text string. Given below are the
different ways to perform this function.

In this example, we have operated with the syntax =CONCATENATE(A25, " ", B25)

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Fig: Concatenate function in Excel

In this example, we have operated with the syntax =CONCATENATE(A27&" "&B27)

Fig: Concatenate function in Excel

Those were the two ways to implement the concatenation operation in Excel.

Also Read: How to Use Concatenate in Excel?

10. LEN
The function LEN() returns the total number of characters in a string. So, it will count the
overall characters, including spaces and special characters. Given below is an example
of the Len function.

    

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Fig: Len function in Excel

Let’s now move onto the next Excel function on our list of this article.

11. REPLACE

As the name suggests, the REPLACE() function works on replacing the part of a text
string with a different text string. 

The syntax is “=REPLACE(old_text, start_num, num_chars, new_text)”. Here, start_num

refers to the index position you want to start replacing the characters with. Next,
num_chars indicate the number of characters you want to replace. 

Let’s have a look at the ways we can use this function.

Here, we are replacing A101 with B101 by typing “=REPLACE(A15,1,1,"B")”. 

   

Fig: Replace function in Excel

Next, we are replacing A102 with A2102 by typing “=REPLACE(A16,1,1, "A2")”. 

Fig: Replace function in Excel

Finally, we are replacing Adam with Saam by typing “=REPLACE(A17,1,2, "Sa")”. 

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Fig: Replace function in Excel

Let’s now move to our next function. 

12. SUBSTITUTE

The SUBSTITUTE() function replaces the existing text with a new text in a text string. 

The syntax is “=SUBSTITUTE(text, old_text, new_text, [instance_num])”.

Here, [instance_num] refers to the index position of the present texts more than once. 

Given below are a few examples of this function:

Here, we are substituting “I like” with “He likes” by typing “=SUBSTITUTE(A20, "I
like","He likes")”. 

  

Fig: Substitute function in Excel

Next, we are substituting the second 2010 that occurs in the original text in cell A21
with 2016 by typing “=SUBSTITUTE(A21,2010, 2016,2)”.

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Fig: Substitute function in Excel

Now, we are replacing both the 2010s in the original text with 2016 by typing
“=SUBSTITUTE(A22,2010,2016)”.

Fig: Substitute function in Excel

That was all about the substitute function, let’s now move on to our next function. 

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13. LEFT, RIGHT, MID

The LEFT() function gives the number of characters from the start of a text string.
Meanwhile, the MID() function returns the characters from the middle of a text string,
given a starting position and length. Finally, the right() function returns the number of
characters from the end of a text string.  

Let’s understand these functions with a few examples.

In the example below, we use the function left to obtain the leftmost word on the
sentence in cell A5.

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Fig: Left function in Excel

Shown below is an example using the mid function.

Fig: Mid function in Excel

Here, we have an example of the right function.

Fig: Right function in Excel

14. UPPER, LOWER, PROPER

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The UPPER() function converts any text string to uppercase. In contrast, the LOWER()
function converts any text string to lowercase. The PROPER() function converts any text
string to proper case, i.e., the first letter in each word will be in uppercase, and all the
other will be in lowercase.

Let’s understand this better with the following examples:

Here, we have converted the text in A6 to a full uppercase one in A7.

Fig: Upper function in Excel

Now, we have converted the text in A6 to a full lowercase one, as seen in A7.

Fig: Lower function in Excel

Finally, we have converted the improper text in A6 to a clean and proper format in
A7.

Fig: Proper function in Excel

Now, let us hop on to exploring some date and time functions in Excel.

15. NOW()

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The NOW() function in Excel gives the current system date and time.

Fig: Now function in Excel

The result of the NOW() function will change based on your system date and time.

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16. TODAY()

The TODAY() function in Excel provides the current system date.

Fig: Today function in Excel

The function DAY() is used to return the day of the month. It will be a number between 1
to 31. 1 is the first day of the month, 31 is the last day of the month.

Fig: Day function in Excel

The MONTH() function returns the month, a number from 1 to 12, where 1 is January and
12 is December.

 Fig: Month function in Excel

The YEAR() function, as the name suggests, returns the year from a date value.

Fig: Year function in Excel

17. TIME()

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The TIME() function converts hours, minutes, seconds given as numbers to an Excel
serial number, formatted with a time format.

Fig: Time function in Excel

18. HOUR, MINUTE, SECOND

The HOUR() function generates the hour from a time value as a number from 0 to 23.
Here, 0 means 12 AM and 23 is 11 PM.

Fig: Hour function in Excel

The function MINUTE(), returns the minute from a time value as a number from 0 to 59.

Fig: Minute function in Excel

The SECOND() function returns the second from a time value as a number from 0 to 59.

Fig: Second function in Excel

19. DATEDIF

The DATEDIF() function provides the difference between two dates in terms of years,
months, or days.

Below is an example of a DATEDIF function where we calculate the current age of a

person based on two given dates, the date of birth and today’s date.

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Fig: Datedif function in Excel

Now, let’s skin through a few critical advanced functions in Excel that are popularly used
to analyze data and create reports.

20. VLOOKUP

Next up in this article is the VLOOKUP() function. This stands for the vertical lookup that
is responsible for looking for a particular value in the leftmost column of a table. It then
returns a value in the same row from a column you specify. 

Below are the arguments for the VLOOKUP function:

lookup_value - This is the value that you have to look for in the first column of a table.

table - This indicates the table from which the value is retrieved.

col_index - The column in the table from the value is to be retrieved.

range_lookup - [optional] TRUE = approximate match (default). FALSE = exact match.

We will use the below table to learn how the VLOOKUP function works.

If you wanted to find the department to which Stuart belongs, you could use the
VLOOKUP function as shown below:

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Fig: Vlookup function in Excel

Here, A11 cell has the lookup value, A2: E7 is the table array, 3 is the column index
number with information about departments, and 0 is the range lookup. 

If you hit enter, it will return “Marketing”, indicating that Stuart is from the marketing
department.

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21. HLOOKUP

Similar to VLOOKUP, we have another function called HLOOKUP() or horizontal lookup.

The function HLOOKUP looks for a value in the top row of a table or array of benefits. It
gives the value in the same column from a row you specify.

Below are the arguments for the HLOOKUP function:

lookup_value - This indicates the value to lookup.

table - This is the table from which you have to retrieve data.
row_index - This is the row number from which to retrieve data.
range_lookup - [optional] This is a boolean to indicate an exact match or
approximate match. The default value is TRUE, meaning an approximate match.

Given the below table, let’s see how you can find the city of Jenson using HLOOKUP.

                                                     Fig: Hlookup function in Excel

Here, H23 has the lookup value, i.e., Jenson, G1:M5 is the table array, 4 is the row index
number, 0 is for an approximate match.

Once you hit enter, it will return “New York”.

 22. IF

The IF() function checks a given condition and returns a particular value if it is TRUE. It
will return another value if the condition is FALSE.

In the below example, we want to check if the value in cell A2 is greater than 5. If it’s
greater than 5, the function will return “Yes 4 is greater”, else it will return “No”.

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                     Fig: If function in Excel

In this case, it will return ‘No’ since 4 is not greater than 5.

‘IFERROR’ is another function that is popularly used. This function returns a value if an
expression evaluates to an error, or else it will return the value of the expression.

Suppose you want to divide 10 by 0. This is an invalid expression, as you can’t divide a
number by zero. It will result in an error. 

The above function will return “Cannot divide”.

23. INDEX-MATCH

The INDEX-MATCH function is used to return a value in a column to the left. With
VLOOKUP, you're stuck returning an appraisal from a column to the right. Another reason
to use index-match instead of VLOOKUP is that VLOOKUP needs more processing
power from Excel. This is because it needs to evaluate the entire table array which you've
selected. With INDEX-MATCH, Excel only has to consider the lookup column and the
return column.

Using the below table, let’s see how you can find the city where Jenson resides.

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