# Basic Statistics and Data Analysis

## Creating Formula in Excel: Operators Order of Precedence

Creating customized (user defined) formulas in Microsoft Excel is not too difficult. For creating formulas just combine the references of your data with the correct mathematical operator (such as -, +, /, * and ^).

Microsoft Order of Precedence

The order of mathematical operations determines in which order the mathematical operations are carried out. If more than mathematical operators are used in formula, there is a specific order (sequence) that Microsoft Excel will follow to perform (compute) these mathematical operations. However, to change the order of operations, brackets (parenthesis) are used in the Excel formula. The easy way to remember the order of operations (precedence) is to remember the acronym: BEDMAS (PEDMAS), that i.e.,

The order of operations (precedence) is:

Bracket or Parenthesis
Exponents (^)
Division (/)
Multiplication (*)
Subtraction (-)

Suppose, following is the screenshot of an Excel sheet. The formula is also shown in formula bar. As an example, addition (+), division (/) and multiplication (*) operators are used.

The formula in screenshot performs the computation in the following order,

• E1/F1 will be computed (answer is 1.5),
• the answer of E1/F1 will be multiplied by value of G1 (answer is 1.5*2 = 3)