Creating simple formulas is easy, but creating complex formulas is hard. To make complex formulas easier to create, Excel comes with prebuilt formulas called functions. Lists shown some of the many functions available.

Excel literally provides hundreds of functions that you can use by themselves or as part of your own formulas. A function typically uses one or more cell references:
- Single cell references, such as =ROUND(C4,2), which rounds the number found in cell C4 to two decimal places
- Contiguous (adjacent) cell ranges, such as =SUM(A4:A9), which adds all the numbers found in cells A4, A5, A6, A7, A8, and A9
- Noncontiguous cell ranges, such as =SUM(A4,B7,C11), which adds all the numbers found in cells A4, B7, and C11
To use a function, follow these steps:
- Click in the cell where you want to create a formula using a function.
- Click the Formulas tab.
- Click one of the following function icons in the Function Library group:
Financial: Calculates business-related equations, such as the amount of interest earned over a specified time period
Logical: Provides logical operators to manipulate True and False (also known as Boolean) values
Text: Searches and manipulates text
Date & Time: Provides date and time information
Lookup & Reference: Provides information about cells, such as their row headings
Math & Trig: Offers mathematical equations
More Functions: Provides access to statistical and engineering functions - Click a function category, such as Financial or Math & Trig.
A pull-down menu appears, as shown in Figure below.
Clicking a function library icon displays a menu of available functions you can use. - Click a function.
The Function Arguments dialog box appears, as shown in Figure below.
Specify which cell references contain the data your function needs to calculate a result. - Click the cell references you want to use.
- Repeat Step 6 as many times as necessary.
- Click OK.
Excel displays the calculation of your function in the cell you selected in Step 1.
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