SECTION 1
Lesson 1.1: Using Formulas in Excel

   

 

 

In the following spread sheet we have columns for units sold, price, total sales, cost per unit, overhead, and profit.

 

 

To come up with a figure for the profit column, we must evaluate the total sales (units sold multiplied by the price per unit), and the total expenses (Units sold multiplied by the cost per unit, and then added with the overhead).

 

To do this, we can click on cell D2, and enter =B2*C2 in the formula bar. If we then drag this formula to fill cells D2:D7, we will have the total sales for each location.

 

 Profit, is the total expenses subtracted from the total sales. In this instance, the total expenses for the row labelled Location1 would be B2*E2+F2 (units sold * cost per unit + overhead). Remember, we have total sales in column D, so if we enter =D2-(B2*E2+F2) into cell G2, and then fill down to G7, we will have completed our profit column.