Definition
The EXACT function in Excel is a text-based function that assesses if two provided text strings are exactly identical. It takes two arguments – the two text strings to be compared – and delivers a BOOLEAN TRUE or FALSE value. A TRUE result indicates both strings are exactly the same, including the same case sensitivity, and a FALSE means they are not.
Key Takeaways
- The EXACT function in Excel is a text function that is used to compare two text strings and returns TRUE if they are exactly the same, and FALSE otherwise.
- This function is case-sensitive, meaning it pays attention to the capitalization of the text. Thus, ‘example’ and ‘Example’ would not be considered the same under the EXACT function.
- The EXACT function only compares text strings, not numbers or dates. If you need to compare numbers or dates, you’ll need to use another function or tool in Excel.
Importance
The EXACT Function in Excel is crucial in finance as it allows for timely and precise data management, reducing errors greatly.
It is used to compare two text strings, considering case and formatted cells, to determine whether they’re exactly the same – returning either a TRUE or FALSE result.
This is particularly beneficial in finance, as it enables professionals to easily validate data, resolve discrepancies, and identify duplicates.
For instance, it can help to verify that financial transactions or code matches, without manually checking each entry, thereby saving time and resources.
Its use contributes to increased efficiency and accuracy, both of which are essential for sound financial analysis and decision-making.
Explanation
The EXACT function in Excel serves a critical purpose in data analysis, specifically in data cleaning and error detection. This function compares two cells and returns “True” if they contain exactly the same data and “False” if they do not.
The EXACT function is case-sensitive, which makes it particularly useful when working with texts where capitalization matters. This function caters to the need for precision and accuracy in data processing, allowing users to verify and validate data integrity.
In the financial sector or any industry that relies on massive amounts of data, the EXACT function is often used for various purposes. For instance, it’s used to compare entries and detect discrepancies, identify duplicates, or automate error checks in financial reports.
A typical use case is when you’re reconciling financial records and need to ensure the reported figures align with your internal records. By employing the EXACT function, you can quickly identify mismatches, ensure accuracy, and maintain high data quality.
Examples of EXACT Function in Excel
Mortgage Calculations: When individuals or businesses apply for a mortgage, the lender gives them a detailed payment schedule. In such instances, the EXACT function in Excel can be used to cross-verify the accuracy of calculations like principal and interest components, monthly payments, etc. For instance, you can compare the bank’s payment schedule with your own calculated financial models to check for any discrepancies.
Sales Revenue Verification: If you’re a business owner with multiple branches and each branch sends a monthly sales report, you can use the EXACT function to cross-validate these reports with your master data. This could be useful for example to check if the entered sales value matches the actual received cash value.
Financial Report Auditing: Auditors often need to ensure the authenticity of the financial reports presented to them by the company. They might have to cross-check these reports with transaction databases or accounting entries. Excel’s EXACT function can be used by auditors to cross-verify large data sets to ensure the accuracy of the financial reporting. By comparing financial statements (like balance sheets, income statement) from different periods, they can check if the figures have been transferred correctly from the company’s account books.
Frequently Asked Questions about the EXACT Function in Excel
1. What is the EXACT Function in Excel?
The EXACT function in Excel is a Text formula that is used to check if two text strings are exactly the same. This function is case sensitive, so it takes uppercase and lowercase letters into account.
2. When should you use the EXACT function in Excel?
The EXACT function is particularly useful when you want to compare two cells or strings of text to find out if they are identical. This could be useful for comparing data entries, verifying data input or finding discrepancies in data sets.
3. How do you use the EXACT Function in Excel?
To use the EXACT function, you will need two text strings that you want to compare. The function is defined as EXACT(text1, text2) where ‘text1’ and ‘text2’ are the two text strings or cell references you want to compare. The function will return TRUE if the two strings are exactly the same and FALSE if they are not.
4. Does the EXACT Function in Excel ignore spaces?
No, the EXACT function in Excel does not ignore spaces. It literally compares everything in the two cells, including any spaces. If one cell has an extra space, the function will return FALSE.
5. Can I compare numbers or dates using the EXACT Function in Excel?
Yes, you can compare numbers and dates using the EXACT function. However, remember that the EXACT function considers format. Therefore, the numbers or dates need to be in the exact same format in both cells for it to return TRUE. For example, “01-01-2020” and “1-1-2020” will not be considered identical.
Related Entrepreneurship Terms
- Formula bar: The area in Excel where you input the EXACT function and other formulas.
- Cell reference: A set of coordinates that identifies a specific cell in a worksheet and is used in the EXACT function to compare two cells.
- Logical functions: A group of functions in Excel, including the EXACT function, that checks for specific conditions and returns a specified value based on whether those conditions are met or not.
- Function arguments: The values that are supplied to the EXACT function for it to process.
- Case sensitivity: The trait of the EXACT function where it considers uppercase and lowercase letters as different characters when comparing two text strings.
Sources for More Information
- Microsoft Support: Microsoft’s official support website often provides detailed articles and how-to guides relating to their products including Excel’s EXACT function.
- Office Tooltips: This website provides tips and tricks on how to effectively use Microsoft Office applications including the use of Excel’s EXACT function.
- Exceljet: Exceljet has a number of Excel tutorials, including ones about the EXACT function. It not only provides a detailed explanation on how the function is used, but also gives practical examples.
- Excel Functions: This website provides detailed explanations of Excel’s functions and formulas. Every function is also explained by the use of practical examples.
