Absolute References Vs Relative References in Microsoft Excel

Microsoft Excel is built on a regime of Columnsaddresses didn't change. The reason is that by
and Rows with the intersection of these twoadding the $ symbols to the cell address we are
elements giving us our cells. The cells in Microsofttelling the formula that regardless of where you
Excel are always named Columns and then Rows,place the formula you must absolutely refer to
so a typical cell address would look something likeColumn B and Row four thus we have $B$4.
- AB256. This particular cell is found on column ABThere are many reasons why you may use
and in row 256. The reference I wrote there isRelative References over Absolute references
very important as it tells me something significant,and vice versa. One of the most common one
that is, it tells me the cell address is a relative cellfor using absolute references is when you have a
address. So what does this mean? Well there arespecific value you want to refer to in a formula.
two types of references used in Microsoft ExcelFor example, lets say you are building a mortgage
which is an Absolute Reference and a Relativecalculator and you need to refer to an Interest
Reference. On a day-to-day basis, the relative andRate. To ensure you are always referring to the
absolute reference doesn't really affect theright cell that has the interest rate value you may
operations of your spreadsheet. Where it doesset an absolute value.
become a noticeable issue is when you startIn Microsoft Excel there is also a reference called
copying formulas from one cell to another.a mixed reference. Essentially what this means is
Lets investigate the difference between the twothat only either the Column or the Row has the
...dollar symbol, for example $C3. What this is telling
A Relative Reference is one that when copiedus is that in the formula you must absolutely
from one position to another will adjust therefer to column C but the value in the row is
formula cell address to suit the position it is in. Forrelative to the position of the formula.
example if you have a formula in cell address C4There are a number of ways that you can enter
that was =B4*C1 and then copied the formulaRelative and Absolute values into a formula. One
into say C5 what you will notice is that the celltechnique is that you can simply type the $
addresses of the formula will change to =B5 * C2.symbols next to the Row or the Column.
The reason this has occurred is that the cellHowever there is an alternative. Once you have
addresses are in fact relative addresses. That istyped in the Cell address like C4 you can move
the cell address is relative to its current position.back into the cell address and then use the F4
To change a cell address from being relative tokey to toggle the cell reference from Relative to
being absolute we simply add dollars signs to theAbsolute to a Mixed References.
cell address in this way - $C$5. What this addressAbsolute and relative references are extremely
is now saying to us is that we must absolutelyimportant in Microsoft Excel and they ensure that
refer to column C and absolutely refer to Row 5.the formulas you are creating actually refer to
This means that if we apply the dollar symbols tothe correct cells. Remember one simple rule, if the
our previous formula in cell C4 which is =$B$4 *cell addresses have a $ symbol next to it, it
$C$4 and then copy our formula to cell addressmeans you must absolutely refer to either the
C5 you will notice this time round that the cellcolumn or the row.