Microsoft Office Tutorials and References
In Depth Information
Tutorial C: Building a Decision Support System in Excel
The Income and Cash Flow Statements completed up to Income before Taxes
Income Tax Expense is the most complex formula for these sections. Because you do not pay income tax
when you have no income or a loss, you must use a formula that allows you to enter 0 if there is no income
or a loss, or to calculate the tax rate on a positive income. The IF function in Excel allows you to enter one of
two different results in a cell, depending on whether a defined logical statement is true or false. To create an
IF function, select cell C34, then click the fx symbol next to the cell editing window (circled in Figure C-12).
When the Insert Function dialog box appears, type IF in the
text box, and click the
Go button if necessary. The IF function should appear. When you click OK, the Function Arguments dialog
box appears (see Figure C-13).
Search for a function
The IF function