What Is a Spreadsheet Program?
Spreadsheet programs have automated a formerly tedious process of revising ledger-based reports by hand every time a number or other variable changed. A common feature in business and home software suites, programs such as Microsoft Excel offer an easy-to-use graphic interface that includes a grid representing the spreadsheet itself. An experienced user can create formulas that calculate business data using as many variables or subtotals as the user can fit into the formula.
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History
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Dan Bricklin developed the first spreadsheet program, VisiCalc, as an application for the Apple II computer in 1978. VisiCalc proved hugely successful in the business sector. The $150 program introduced the now-standard concept of displaying numbers within columns and rows on the computer's display, enabling users to make changes to entire reports through the use of formulas. Its successors, including MultiCalc, Excel and Lotus 1-2-3, introduced modern refinements such as a graphic user interface.
Layout
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A typical modern-day spreadsheet program creates files that open in the form of a grid, with the rows arranged by number and the columns arranged in alphabetical order. The rectangular spaces, or "cells," formed by the gridlines serve as information input areas. The user can enter numbers, terms or formulas into these cells. Spreadsheet programs also allow users to modify the size and colors of the cells or their data through a full range of text and page formatting options. Users can also print the completed spreadsheet into hardcopy form.
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Formulas
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Formulas lie at the heart of a spreadsheet program's power and flexibility. A user constructs a formula by including numerical or written command rules for referencing the numbers in various cells. The formula might simply add or subtract numbers from two different cells or it might employ a number of complex instructions to manipulate entire rows or columns of information. Once the user has built the formulas into the spreadsheet, a change to any number in any of the relevant cells will cause a "ripple effect" that adjusts the numbers accordingly across the entire sheet.
Uses
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Spreadsheet programs see everyday use in any business that must work with numbers or figures. Accounting firms or departments, tax offices or business owners rely on spreadsheets to record and display the most current information on assets, liabilities, trends or other critical financial data. In addition to the obvious business uses, home computer users may also run their budgets or collect other useful information on popular spreadsheet programs such as Microsoft Excel or Apple Numbers.
Benefits
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An electronic spreadsheet eliminates concerns over individual miscalculations due to human error that might render an entire report inaccurate. Its ability to revise an entire spreadsheet to reflect a change in a single number makes reporting faster, more reliable and more efficient. This global adjustment capability also allows users to create "what-if" scenarios, plugging various numbers into a formula to see how different strategies have different effects on a business's bottom line.
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References
- Photo Credit Mensch und Computer image by Sven Rausch from Fotolia.com