When using formulas in Excel you can add, subtract, multiply, and divide. Use simple Excel formulas to also make cell references in Excel.

When a formula contains a cell address, it is called a **cell reference**. Creating a formula with cell references is useful because you can update data in your worksheet without having to rewrite the values in the formula.

- Select the cell where the answer will appear (
**B3,**for example).Selecting cell B3 - Type the
**equals sign (=)**. - Type the cell address that contains the first number in the equation (
**B1,**for example).Entering a formula in B3 - Type the operator you need for your formula. For example, type the
**addition sign (+)**. - Type the cell address that contains the second number in the equation (
**B2,**for example).Entering a formula in B3 - Press
**Enter**. The formula will be calculated, and the value will be displayed in the cell.Result in B3

If you change a value in either B1 or B2, the total will automatically recalculate.

Result in B3

Excel **will not always tell you** if your formula contains an error, so it's up to you to check all of your formulas. To learn how to do this, you can read the Double-Check Your Formulas lesson from our Excel Formulas tutorial.