excel formula anyone
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What is it supposed to do? My guess is it solves "L11 = x% of K11" for x. I fail to see what's wrong with it to be honest. :confused:
Giraffes are not real.
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What is it supposed to do? My guess is it solves "L11 = x% of K11" for x. I fail to see what's wrong with it to be honest. :confused:
Giraffes are not real.
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A little maths : (1 - (K11 - L11)/K11) * 100 = (1 - (K11 / K11) + (L11 / K11)) * 100 = (1 - 1 + (L11 / K11)) * 100 = (L11 / K11) * 100 :)
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A little maths : (1 - (K11 - L11)/K11) * 100 = (1 - (K11 / K11) + (L11 / K11)) * 100 = (1 - 1 + (L11 / K11)) * 100 = (L11 / K11) * 100 :)
No - it's (K11 - L11) !!! And also you should check operator precedence ! You should take another base course in math :-)
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No - it's (K11 - L11) !!! And also you should check operator precedence ! You should take another base course in math :-)
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>(1 - (K11 - L11)/K11) * 100 > = (1 - (K11 / K11) + (L11 / K11)) * 100 Where did the + came from ? (K11 - L11)/K11 is the same as (K11 / K11 ) - (L11 / K11) Besides, the parentheses signifies that it should be evaluated first. the formula is evaluated to; K11 - L11 then divided by K11, subtract the answer from 1 then multiplied by 100 to represent as a percentage. This is a valid income formula. if L11 = 100, K11 = 200, this will result into a 50% answer.
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>(1 - (K11 - L11)/K11) * 100 > = (1 - (K11 / K11) + (L11 / K11)) * 100 Where did the + came from ? (K11 - L11)/K11 is the same as (K11 / K11 ) - (L11 / K11) Besides, the parentheses signifies that it should be evaluated first. the formula is evaluated to; K11 - L11 then divided by K11, subtract the answer from 1 then multiplied by 100 to represent as a percentage. This is a valid income formula. if L11 = 100, K11 = 200, this will result into a 50% answer.
Two minuses make a plus. So yes, as you got, (k-l)/k is k/k-l/k. But the expression is 1-(k-l)/k = 1-(k/k-l/k) = 1-k/k+l/k. The post you were replying to brings the fraction inside and resolves the brackets in one step. (As described earlier, it then further simplifies 1-1+l/k = l/k.)
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>(1 - (K11 - L11)/K11) * 100 > = (1 - (K11 / K11) + (L11 / K11)) * 100 Where did the + came from ? (K11 - L11)/K11 is the same as (K11 / K11 ) - (L11 / K11) Besides, the parentheses signifies that it should be evaluated first. the formula is evaluated to; K11 - L11 then divided by K11, subtract the answer from 1 then multiplied by 100 to represent as a percentage. This is a valid income formula. if L11 = 100, K11 = 200, this will result into a 50% answer.
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This is what I got from my director/president of IT department of our company, I'm not sure if he wrote it or not. It's a formula in an excel cell:
=(1-(K11-L11)/K11)*100
i mean seriously, wtf? I've also seen a code/formula than spans a whole line includes several variables which equals to 1 no matter the variables, i pointed it out to the "developer" he laughed his ass off and got embarrassed that was kind of funny.
Whoever set up the spreadsheet originally simply plugged in standard accounting formulas without performing any simplification. Gross Profit Margin is defined as the difference between revenue and cost of goods sold, divided by the revenue:
GPM = (Revenue - CoGS)/RevenueThe equation in the spreadsheet you were looking at was looking at (effectively):
(1 - GPM)\*100True, it could have been simplified, but there are (at times) reasons for not performing every possible simplification. In this case, to someone who "thinks" in terms of CoGS, Revenue, Margins, etc. the equation given makes a lot of sense. To a programmer (or a mathmatician) it is not very efficient, but to the accountant it provides self-documenting code. This is especially important in Excel, where you can't add comments to the code (cell equation). It appears that they were trying to calculate the proportion of each dollar of revenue that the company spent as expenses.