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It allows you to use the same formula for different values. All you need to do to use different values is change the cells that have the values and you have no need to changed the formula. It is also possible to give cells real names and then use these in a formula. This can make the formula more meaningful. If you take the following formulas, the first is obviously very clear. The second is not so clear, but enables values to be changed in the referenced cells and the third has the actual values.

=Income - Expenditure

=A6 - B6

=50430-42950

Another advantage and reason is by having the actual values in separate cells, you can see the values on the spreadsheet, making it easier to understand. If you have the values directly in the formula, you will see the result of the formula, but it won't be as clear as to how the total was arrived at. Anything that can be calculated in a spreadsheet should be calculated, and cell references should be used to make the spreadsheet clearer.

Another reason is that a formula that has references in it can be copied easily and used with different values, which you can't do if the formula has direct values in it. A lot of spreadsheets consist of similar formulas which can be copied. This is the most efficient way of doing things, rather than repeatedly typing similar formulas.

These are some of the main reasons that you would use references rather than actual values in a spreadsheet formula.

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15y ago

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