In this comprehensive guide, we will explore everything you need to know about the DOLLARDE formula in Excel. The DOLLARDE function is a financial function that converts a price expressed as a fraction into a decimal format. This is particularly useful when dealing with financial data, such as bond prices, which are often quoted in fractional formats. By the end of this article, you will have a thorough understanding of the DOLLARDE formula, its syntax, examples, tips and tricks, common mistakes, troubleshooting, and related formulae.
The syntax for the DOLLARDE formula in Excel is as follows:
- fractional_dollar is the price expressed as a fraction (e.g., 102 3/32).
- fraction is the integer representing the denominator of the fraction (e.g., 32 for a bond price quoted in 32nds).
The DOLLARDE function will return the price in decimal format.
Let’s look at some examples of how to use the DOLLARDE formula in Excel.
Example 1: Converting a bond price from fractional to decimal format
Suppose you have a bond price quoted as 102 3/32. To convert this price to decimal format, you can use the DOLLARDE formula as follows:
This formula will return the bond price in decimal format: 102.09375.
Example 2: Converting a stock price from fractional to decimal format
Assume you have a stock price quoted as 50 1/4. To convert this price to decimal format, you can use the DOLLARDE formula as follows:
This formula will return the stock price in decimal format: 50.25.
DOLLARDE Tips & Tricks
Here are some tips and tricks to help you get the most out of the DOLLARDE formula in Excel:
- When entering the fractional_dollar value, make sure to use a decimal point to separate the whole number from the fraction. For example, use 102.03 for 102 3/32, not 102 3/32.
- Remember that the fraction argument must be an integer. If you enter a non-integer value, Excel will return an error.
- If you need to convert a decimal price back to a fractional format, you can use the DOLLARFR function.
Common Mistakes When Using DOLLARDE
Here are some common mistakes users make when using the DOLLARDE formula:
- Not using a decimal point to separate the whole number from the fraction in the fractional_dollar argument. This can lead to incorrect results or errors.
- Using a non-integer value for the fraction argument. This will result in an error.
- Forgetting to include both arguments in the formula. Both the fractional_dollar and fraction arguments are required for the DOLLARDE function to work correctly.
Why Isn’t My DOLLARDE Working?
If you’re having trouble with the DOLLARDE formula, consider the following troubleshooting tips:
- Double-check your fractional_dollar input to ensure you’re using a decimal point to separate the whole number from the fraction.
- Make sure the fraction argument is an integer. Non-integer values will result in an error.
- Ensure that both arguments are included in the formula. Omitting one of the arguments will cause the formula to return an error.
- If you’re still having trouble, check for any typos or syntax errors in your formula.
DOLLARDE: Related Formulae
Here are some related formulae that you might find useful when working with the DOLLARDE function:
- DOLLARFR: This function converts a decimal price to a fractional format. It has the syntax: =DOLLARFR(decimal_dollar, fraction).
- DECIMAL: This function converts a text representation of a number in a given base to a decimal number. It has the syntax: =DECIMAL(text, radix).
- TEXT: This function formats a number as text according to a specified format. It has the syntax: =TEXT(value, format_text).
- FIXED: This function formats a number as text with a fixed number of decimals. It has the syntax: =FIXED(number, [decimals], [no_commas]).
- ROUND: This function rounds a number to a specified number of digits. It has the syntax: =ROUND(number, num_digits).
By mastering the DOLLARDE formula and its related functions, you’ll be well-equipped to handle a wide range of financial data in Excel. With this comprehensive guide, you should now have a solid understanding of the DOLLARDE function, its syntax, examples, tips and tricks, common mistakes, troubleshooting, and related formulae.