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Importance of Spreadsheet software in Business

Spreadsheet:

spreadsheet or worksheet is a file made of rows and columns  that help sort data, arrange data easily, and calculate numerical data. What makes a spreadsheet software  program unique is its ability to calculate values using mathematical formulas and the data in cells. A good example of how a spreadsheet may be utilized is creating an overview of your bank’s balance.

 

The three most common general uses for spreadsheet software are to create budgets, produce graphs and charts, and for storing and sorting data. Within business spreadsheet software is used to forecast future performance, calculate tax, completing basic payroll, producing charts and calculating revenues.
The list of uses for spreadsheet software is endless. However here is a short list of uses:
 Modelling and Planning
 Household Finance Planning
 Business Accounts and Budgeting
 Invoices
 Wages
 Predictions / Simulations
 Calculations e.g. Adding, Subtracting, etc.
 Break even analysis
 Statistical analysis
 Creating Graphs e.g. bar chart, pie chart.
 Collect data from different sources e.g. phone number, prices.
 Explore and interpret data in order to draw conclusions for business

Spreadsheets are preferable to manual calculation and recording of data for a variety of reasons, one
very obvious reason is the unlimited space allowed to the user by the ‘spreadsheet’, hence the name!
Other Advantages Include:
 Calculations are correct
 Calculations are completed automatically
 Information is organised and easy to access
 Information is easy to edit if a mistake has been made by retyping or using ‘undo’
 Data can be easily sorted and filtered
 Data can be quickly analysed
 Reports can be made more visual by using charts and graphs

The following are all applications/programs which can be used to create spreadsheets:
 Microsoft – Excel
 Lotus 123
 Supercalc
 Quatro Pro
For this module we will be using Microsoft Excel spreadsheet software. Excel is a programme which allows the storage of financial information and lists, such as Household Finance Planning, Business Accounts and Budgeting, Invoices and Wages. This information is always calculated accurately and well
organised.