MS Excel: Formulas, Functions and Shortcuts
Complete MS Excel notes for exams: workbook and worksheet limits, cell references, formulas, functions, error values, charts and the shortcut keys asked.
By GK24 Editorial Team· Published · 5 min read

MS Excel is the spreadsheet program of the Microsoft Office suite. A spreadsheet is a grid of rows and columns in which numbers, text and formulas are stored, so that every calculation updates by itself the moment the data behind it changes. Excel was released by Microsoft in 1985, and in Computer Awareness papers it is the second most asked application after MS Word. The questions come from a narrow set: the size of a worksheet, how a cell is addressed, which symbol starts a formula, what a named function returns, what an error value means, and which shortcut key does what. Learn those six groups and the section is scoring.
Workbook, worksheet and cell
An Excel file is called a workbook, and a workbook holds one or more worksheets. A worksheet is the single grid, and its tab sits at the bottom of the window; the first sheet of a new workbook is named Sheet1. Columns are named with letters and rows with numbers, so the meeting point of a column and a row is a cell, addressed by its column letter followed by its row number: A1, C5, AB120. The cell you are typing in is the active cell, and its address is shown in the Name Box at the left end of the formula bar. The title bar at the very top of the window carries both the name of the workbook and the name of the application.
From Excel 2007 onwards a single worksheet has 16,384 columns, named A to XFD, and 1,048,576 rows, so the last cell of the grid is XFD1048576. In Excel 2003 and earlier the grid was much smaller: 256 columns, A to IV, and 65,536 rows. Both pairs of numbers are asked directly, so both are worth memorising.
| Item | Value |
|---|---|
| Rows in a worksheet, Excel 2007 onwards | 1,048,576 |
| Columns in a worksheet, Excel 2007 onwards | 16,384, named A to XFD |
| Grid in Excel 2003 and earlier | 65,536 rows and 256 columns, A to IV |
| Default extension, Excel 2007 onwards | .xlsx |
| Excel 97 to 2003 workbook | .xls |
| Macro enabled workbook | .xlsm |
| Excel template | .xltx |
| Default name of the first sheet | Sheet1 |
Formulas, operators and cell references
Every formula in Excel begins with an equals sign. Typing =A1+B1 in cell C1 adds the two cells and shows the answer in C1, while the formula itself stays visible in the formula bar. A function is a ready made formula that carries a name, for example =SUM(A1:A10). The colon is the range operator, so A1:A10 means every cell from A1 down to A10; the comma is the union operator and separates ranges or arguments. The arithmetic operators are plus, minus, asterisk for multiplication and slash for division, the caret for a power, the ampersand for joining text, and the comparison operators equal to, greater than, less than and not equal to. Excel works through a formula in a fixed order: brackets first, then powers, then multiplication and division, and addition and subtraction last.
A reference can be relative, absolute or mixed, and the difference decides what happens when the formula is copied to another cell. A1 is relative and shifts along with the copy. $A$1 is absolute: the dollar signs lock the column and the row, so the reference stays pinned to that one cell however far the formula is copied. $A1 and A$1 are mixed references, locking only the column or only the row. The F4 key cycles a reference through these four forms while a formula is being edited, which is why F4 is asked so often.
The functions asked most
| Function | What it returns |
|---|---|
| SUM | the total of the numbers in a range |
| AVERAGE | the arithmetic mean of the numbers in a range |
| COUNT | how many cells in a range hold numbers |
| COUNTA | how many cells in a range are not empty |
| MAX and MIN | the largest and the smallest number in a range |
| LEN | the number of characters in a text entry |
| CONCATENATE | joins two or more text entries into one |
| TODAY and NOW | the current date, and the current date with the time |
| IF | one value when a condition is true and another when it is false |
| VLOOKUP | finds a value in the first column of a table and returns a value from a chosen column of the same row |
The Formulas tab groups functions by category, and which category a named function belongs to is a favourite one line question. LEN, LEFT, RIGHT, MID, UPPER, LOWER and CONCATENATE are Text functions. IF, AND, OR and NOT are Logical. SUM, ROUND, SQRT and ABS are Math and Trig. VLOOKUP and HLOOKUP are Lookup and Reference. TODAY and NOW are Date and Time, and PMT, RATE and NPV are Financial.
The error values
When Excel cannot produce an answer it writes an error value in the cell, and each one names its own cause. #DIV/0! means a division by zero or by an empty cell. #NAME? means a function or a range name has been misspelt. #VALUE! means an argument of the wrong type, such as text where a number was needed. #REF! means the formula points at a cell that has been deleted. #NUM! means an impossible number, such as the square root of a negative value. #N/A means a lookup found nothing. A row of hash marks filling the cell is not an error at all: the column is simply too narrow to display the number, and widening it restores the value.
Charts, sorting and the view
A chart turns numbers into a picture and is inserted from the Insert tab. Column, bar, line, pie, area, scatter and radar are the standard types. A pie chart shows each value as a share of the whole and can plot only one data series, while a line chart is used for a trend over time. A sparkline is a tiny chart drawn inside one cell. Sorting rearranges whole rows by the values of a chosen column, filtering hides the rows that do not match a condition without deleting them, and Freeze Panes keeps the heading row on screen while the rest of the sheet scrolls.
Shortcut keys worth memorising
| Shortcut | Action |
|---|---|
| F2 | edit the contents of the active cell |
| F4 | switch a reference between relative, absolute and mixed |
| F5 | open the Go To dialog box |
| F12 | open Save As |
| Ctrl + F2 | Print Preview |
| Shift + Space | select the whole row |
| Ctrl + Space | select the whole column |
| Ctrl + Home | move to cell A1 |
| Ctrl + semicolon | insert the current date |
| Alt + equals sign | insert the SUM function |
Exam Point of View
Examiners test MS Excel with one line recall questions of six kinds: the size of the grid and the last column name, the file extensions, the symbol or operator that starts or joins a formula, the category a named function belongs to, the meaning of an error value, and the shortcut keys. The commonest traps are swapping Shift + Space with Ctrl + Space, confusing COUNT with COUNTA, treating a cell full of hash marks as an error value, reading the Excel 2003 limits as the current ones, and mixing up which part of the screen shows the cell address, the Name Box, with the title bar that shows the file name. Read the version named in the question before answering about a limit or an extension.
Important Facts
| First released | 1985, by Microsoft |
|---|---|
| Rows in a worksheet | 1,048,576 from Excel 2007 onwards |
| Columns in a worksheet | 16,384, named A to XFD |
| Last cell of the grid | XFD1048576 |
| Excel 2003 limits | 65,536 rows and 256 columns, A to IV |
| Default extension | .xlsx from Excel 2007, .xls up to Excel 2003 |
| Macro enabled file | .xlsm |
| Template file | .xltx |
| Formula begins with | an equals sign |
| Range operator | the colon, as in A1:A10 |
| Absolute reference | $A$1, locked by dollar signs |
| Shows the active cell address | the Name Box, left of the formula bar |
| Select whole row and column | Shift + Space and Ctrl + Space |
| Print Preview | Ctrl + F2 |
| Division by zero error | #DIV/0! |
Practice MCQs on this topic
In MS - Excel, what is the shortcut key you can press to Select the entire row?
- A.Ctrl + Shift + Space
- B.Ctrl + Home
- C.Ctrl + Space
- D.Shift + Space
Show answer
Correct answer: D. Shift + Space
Explanation
The correct answer is D, Shift + Space. Pressing Shift together with the spacebar selects the whole row that holds the active cell, from column A right across to the last column of the grid. The row number on the left turns highlighted, and any formatting, deletion or height change you apply next affects the entire row.
Option A, Ctrl + Shift + Space, selects the whole worksheet, which is the same thing Ctrl + A does when the active cell stands outside a data range. Option B, Ctrl + Home, does not select anything at all; it only moves the cursor back to cell A1 from wherever it happens to be. Option C, Ctrl + Space, is the companion of the right answer and selects the whole column instead of the whole row, which is exactly the swap the paper setter is hoping for. Remember the pair together: Shift for the row, Ctrl for the column.
Which of the following displays both the name of the application and the name of the spreadsheet in MS-Excel?
- A.Title bar
- B.Tool bar
- C.Task bar
- D.Menu bar
Show answer
Correct answer: A. Title bar
Explanation
The correct answer is A, Title bar. The title bar is the strip along the very top of the Excel window, and it carries the name of the open workbook followed by the name of the program, for example Book1 - Excel. The minimise, maximise and close buttons sit at its right end, and the Quick Access Toolbar at its left.
Option B, the tool bar, holds command buttons rather than names; in Excel 2007 and later it survives only as the small Quick Access Toolbar. Option C, the task bar, belongs to the Windows operating system and not to Excel; it runs along the bottom of the screen and shows the Start button and the programs that are open. Option D, the menu bar, was the row of word menus of Excel 2003 and earlier, replaced by the ribbon from Excel 2007; it listed commands such as File and Edit, never the file name. The cell address, by contrast, is shown in the Name Box beside the formula bar.
The 'LEN' function in MS-Excel belongs to which of the following categories?
- A.Financial
- B.Logical
- C.Text
- D.Math & Trig
Show answer
Correct answer: C. Text
Explanation
The correct answer is C, Text. LEN returns the number of characters in an entry, counting letters, digits, punctuation and spaces alike, so =LEN("Excel") gives 5. Because it works on text rather than on values, Excel files it under the Text category of the Formulas tab, along with LEFT, RIGHT, MID, UPPER, LOWER, TRIM and CONCATENATE.
Option A, Financial, holds the money functions such as PMT, RATE, NPV and FV, which work out instalments, interest rates and present values. Option B, Logical, holds IF, AND, OR, NOT and IFERROR, the functions that test a condition and return one result or another. Option D, Math and Trig, holds SUM, ROUND, ABS, SQRT, POWER and MOD, which calculate on numbers. LEN does return a number, and that is the trap that pulls candidates towards D, but a function is classified by what it works on, and LEN works on text.
Which out of the following is used as an electronic spread sheet?
- A.Microsoft Word
- B.Microsoft Power point
- C.Microsoft Excel
- D.Microsoft Access
Show answer
Correct answer: C. Microsoft Excel
Explanation
The correct answer is C, Microsoft Excel. An electronic spreadsheet stores data in a grid of rows and columns and recalculates its formulas whenever a value changes, and Excel is the spreadsheet program of the Microsoft Office suite. Its files carry the .xlsx extension from Excel 2007 onwards.
Option A, Microsoft Word, is a word processor, used to type, edit and format text documents that are saved with the .docx extension. Option B, Microsoft PowerPoint, is presentation software, used to build slides for a talk and saved with the .pptx extension. Option D, Microsoft Access, is the database management program of the suite; it also shows tables in a grid, which makes it the strongest distractor, but a database stores records in related tables and is queried, while a spreadsheet calculates cell by cell. Remember the pairing of the four programs with their jobs and this whole family of questions becomes easy.
Which function key displays the Print Preview window in Microsoft Office?
- A.Alt + Ctrl + F2
- B.Alt + F2
- C.Shift + F2
- D.Ctrl + F2
Show answer
Correct answer: D. Ctrl + F2
Explanation
The correct answer is D, Ctrl + F2. Ctrl together with F2 opens the print area of the Backstage view in Excel, Word and PowerPoint, where the page is shown exactly as it will be printed and the printer, copies, orientation and margins can be set. In Office 2003 and earlier the same combination opened the older Print Preview window.
Option A, Alt + Ctrl + F2, opens a file rather than previewing one, working like Ctrl + O. Option B, Alt + F2, was the Save As shortcut of very old Office versions and does nothing useful today; the modern Save As key is F12. Option C, Shift + F2, adds or edits a comment on the active cell in Excel, which is a completely different job. Learning the F2 family together helps: F2 alone edits the active cell, Shift + F2 handles a comment, Ctrl + F2 previews the print, and Alt + equals inserts a SUM.
What is the default file extension of a workbook created in MS Excel 2016?
- A..xls
- B..xlsx
- C..xlsm
- D..xltx
Show answer
Correct answer: B. .xlsx
Explanation
The correct answer is B, .xlsx. From Excel 2007 onwards the suite moved to the Office Open XML formats, and a plain workbook saves with the .xlsx extension. The x at the end stands for XML, the format in which the sheet contents are stored inside a compressed package, which is why these files are smaller and less prone to corruption than the older ones.
Option A, .xls, was the default extension of Excel 97 through Excel 2003; a 2016 workbook takes it only if the user deliberately saves in the Excel 97-2003 format. Option C, .xlsm, is the macro enabled workbook, used when the file has to carry VBA code, because a plain .xlsx refuses to store macros. Option D, .xltx, is an Excel template, a pattern file from which new workbooks are created rather than a workbook itself; the macro enabled template is .xltm. The exam expects .xlsx whenever the question names Excel 2007 or any later version.
How many rows does a single worksheet contain in MS Excel 2007 and later versions?
- A.65,536
- B.16,384
- C.1,048,576
- D.2,097,152
Show answer
Correct answer: C. 1,048,576
Explanation
The correct answer is C, 1,048,576. From Excel 2007 the grid of one worksheet was enlarged to 1,048,576 rows and 16,384 columns, so the very last cell of the sheet is XFD1048576. The figure is a power of two, two raised to the twentieth, which is why it looks so odd at first sight and is easy to recall once noticed.
Option A, 65,536, is the number of rows in Excel 2003 and earlier, and it is the answer only when the question names one of those old versions. Option B, 16,384, is the number of columns in Excel 2007 and later, not the number of rows, and swapping the two is the commonest mistake in this question. Option D, 2,097,152, is simply double the correct figure and has no place in Excel at all. Fix the pair in memory as rows just over ten lakh and columns just over sixteen thousand.
Every formula entered in an MS Excel cell must begin with which of the following characters?
- A.The hash sign
- B.The equals sign
- C.The asterisk
- D.The colon
Show answer
Correct answer: B. The equals sign
Explanation
The correct answer is B, the equals sign. Excel treats whatever follows an equals sign as something to be calculated, so =A1+B1 adds the two cells and =SUM(A1:A10) totals a range. Without that sign the same text is stored as plain text and no calculation happens, which is why a formula that shows itself in the cell instead of a result has usually lost its equals sign.
Option A, the hash sign, begins an error value such as #DIV/0! or #NAME? and is written by Excel, never by the user. Option C, the asterisk, is the multiplication operator used inside a formula, as in =A1*B1, and a formula may also be started with a plus or a minus sign in Excel for the convenience of old Lotus users, but never with an asterisk. Option D, the colon, is the range operator that joins the first and last cells of a block, as in A1:A10. Each of these three has a real job in Excel, just not the job of starting a formula.
In MS Excel, $A$1 is an example of which type of cell reference?
- A.Relative reference
- B.Mixed reference
- C.Absolute reference
- D.Circular reference
Show answer
Correct answer: C. Absolute reference
Explanation
The correct answer is C, absolute reference. A dollar sign locks the part of the address that follows it, so $A$1 has both the column and the row locked and keeps pointing at cell A1 however far the formula is copied. It is used when one fixed cell, such as a rate of interest or a conversion factor, must be applied to a whole column of values.
Option A, a relative reference, is written without dollar signs, as A1, and shifts with the copy: dragged one row down it becomes A2. Option B, a mixed reference, carries a single dollar sign, either $A1, which locks only the column, or A$1, which locks only the row. Option D, a circular reference, is not a form of address at all but an error in which a formula refers back to its own cell, directly or through a chain, and Excel warns about it instead of producing an answer. The F4 key cycles a reference being edited through the relative, absolute and two mixed forms.
The error value #DIV/0! appears in an MS Excel cell when which of the following happens?
- A.A function name has been spelt wrongly
- B.A number is divided by zero or by an empty cell
- C.The column is too narrow for the result
- D.A referenced cell has been deleted
Show answer
Correct answer: B. A number is divided by zero or by an empty cell
Explanation
The correct answer is B, a number is divided by zero or by an empty cell. Division by zero has no answer in arithmetic, so Excel refuses to invent one and writes #DIV/0! instead. An empty cell used as the divisor counts as zero, which is why the error often appears in a template before any data has been typed; wrapping the formula in IFERROR or in an IF test hides it neatly.
Option A describes #NAME?, the error Excel writes when it cannot recognise a function name or a defined range name, for example if SUM is typed as SUMM. Option C describes the row of hash marks that fills a cell whose column is too narrow; that is only a display problem and not an error value, and widening the column restores the number. Option D describes #REF!, which appears when the row, column or sheet a formula pointed at has been deleted, so the reference no longer exists. Each error value names its own cause, and learning the four together is the whole of this topic.
Which MS Excel function counts only those cells in a range that contain numbers?
- A.COUNTA
- B.COUNTBLANK
- C.COUNT
- D.SUM
Show answer
Correct answer: C. COUNT
Explanation
The correct answer is C, COUNT. COUNT walks through the range and counts only the cells that hold a numeric value, which includes dates and times because Excel stores them as serial numbers. Text entries, logical values and empty cells are all ignored, so =COUNT(A1:A10) on a column of names returns zero.
Option A, COUNTA, counts every cell that is not empty, so text and numbers alike are included; the A stands for all, and this is the distractor the question is built around. Option B, COUNTBLANK, does the opposite and reports how many cells in the range are empty. Option D, SUM, does not count cells at all but adds the numbers it finds in them, so a column holding 5 and 5 gives a COUNT of 2 and a SUM of 10. COUNTIF, a fifth member of the family, counts only the cells that satisfy a stated condition.
What is the name of the last column of a worksheet in MS Excel 2007 and later versions?
- A.IV
- B.XFD
- C.ZZZ
- D.XL
Show answer
Correct answer: B. XFD
Explanation
The correct answer is B, XFD. Columns are lettered A to Z, then AA to AZ, BA to BZ and so on, and the 16,384th column of the enlarged grid falls at XFD. With 1,048,576 rows in the sheet, the last cell of a worksheet is therefore XFD1048576, and pressing Ctrl together with the right arrow key from an empty row takes the cursor straight to that column.
Option A, IV, was the last column of Excel 2003 and earlier, when a sheet had only 256 columns, and it is correct only for those versions. Option C, ZZZ, would be a valid looking three letter name but lies far beyond the 16,384 column limit, so Excel never reaches it. Option D, XL, is the abbreviation Microsoft uses in the file extensions .xlsx and .xlsm, borrowed from the Roman numeral for forty, and it is an ordinary column name early in the double letter run, nowhere near the end of the grid.
Frequently Asked Questions
How many rows and columns does an MS Excel worksheet have?
From Excel 2007 onwards a worksheet has 1,048,576 rows and 16,384 columns, the columns running from A to XFD, so the last cell is XFD1048576. In Excel 2003 and earlier the grid held 65,536 rows and 256 columns, A to IV.
What is the difference between a workbook and a worksheet?
The workbook is the whole Excel file, saved with the .xlsx extension. A worksheet is one grid of rows and columns inside that file, reached from its tab at the bottom of the window. One workbook can hold many worksheets, and the first one is named Sheet1.
What is the difference between a relative and an absolute cell reference?
A relative reference such as A1 shifts when the formula is copied to another cell. An absolute reference such as $A$1 is locked by the dollar signs and keeps pointing at the same cell however the formula is copied. $A1 and A$1 lock only the column or only the row.
What does the COUNT function do in Excel?
COUNT reports how many cells in a range contain numbers, ignoring text and blank cells. COUNTA is its wider companion and reports how many cells are not empty, counting text as well as numbers. COUNTBLANK reports how many cells in the range are empty.
Why does a cell show a row of hash marks?
That is not an error value. The number in the cell is longer than the column is wide, so Excel refuses to show it half cut. Widening the column, or reducing the font size, brings the number back at once. A true error value always begins with a hash followed by a word, such as #NAME? or #REF!.
Which shortcut key selects an entire row in Excel?
Shift + Space selects the whole row that holds the active cell, and Ctrl + Space selects the whole column. Ctrl + Shift + Space, or Ctrl + A, selects the whole worksheet, and Ctrl + Home takes the cursor back to cell A1.
Sources
- Informatics Practices (Class XI), Unit on Spreadsheets and Data Handling — NCERT
- Computers and Communication Technology (Class XI), Chapter on Spreadsheet Packages — NCERT




