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To build the budget worksheet, you'll enter three kinds of information into Excel worksheet cells:

  • Labels (shown here in orange) are text entries that are used to identify information in the worksheet. For example, the word Budget is a label that will appear at the top of the column containing budget information.
  • Values (shown here in green) are numbers, dates, or times. Values differ from labels in that you can perform mathematical calculations on them. In our budget worksheet, you'll enter numbers as values for budget and actual information.
  • Formulas (shown here in yellow) are calculations written in a special notation that Excel can understand. When you enter a formula in a cell, Excel displays the result of the formula, not the formula itself. Formulas are a powerful feature of spreadsheet programs because they can perform all kinds of simple and complex calculations for you. In our budget worksheet, we'll use formulas to calculate the difference between budget and actual information in dollars and percents and to calculate column subtotals and totals.
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