P1 - How spreadsheets can be used to solve complex problems
Uses of Spreadsheets
Any problem involving a lot of calculations and analysis of numerical data is ideally suited to being modelled using spreadsheet software. So, it is a commonplace for the accounting and finance departments of an organisation to use a series of worksheets within a spreadsheet file to record the transactions made by that organisation. In the past, you needed special training to understand the accounts. Nowadays, users can benefit from the inbuilt functionality of spreadsheet software – it helps them to understand the data without needing specialist mathematical skills. Data can also be presented in graphical form at the press of a button.
For most organisations, worksheets have replaced manual pages of ledgers, where income and expenditure were organised into rows and columns. The basic design of a worksheet echoes the two-dimensional table of rows and columns.
The rows of a worksheet are numbered 1, 2, 3...
The columns of a worksheet are lettered A, B, C...
Each cell has a cell reference based on its row number and column letter: A7, B2, etc. In its simplest form, each cell can then contain one of four types of data:
Text – including titles, headings and labels, as well as names, addresses and telephone numbers
Numeric data – any type of number – can be formatted as currency, percentage or date, for example
Formulae – involving single operators, relative cell references and simple functions
Left blank – useful for creating white space on a worksheet, which makes the rest of the data easier to read and understand.
Any problem involving a lot of calculations and analysis of numerical data is ideally suited to being modelled using spreadsheet software. So, it is a commonplace for the accounting and finance departments of an organisation to use a series of worksheets within a spreadsheet file to record the transactions made by that organisation. In the past, you needed special training to understand the accounts. Nowadays, users can benefit from the inbuilt functionality of spreadsheet software – it helps them to understand the data without needing specialist mathematical skills. Data can also be presented in graphical form at the press of a button.
For most organisations, worksheets have replaced manual pages of ledgers, where income and expenditure were organised into rows and columns. The basic design of a worksheet echoes the two-dimensional table of rows and columns.
The rows of a worksheet are numbered 1, 2, 3...
The columns of a worksheet are lettered A, B, C...
Each cell has a cell reference based on its row number and column letter: A7, B2, etc. In its simplest form, each cell can then contain one of four types of data:
Text – including titles, headings and labels, as well as names, addresses and telephone numbers
Numeric data – any type of number – can be formatted as currency, percentage or date, for example
Formulae – involving single operators, relative cell references and simple functions
Left blank – useful for creating white space on a worksheet, which makes the rest of the data easier to read and understand.