Excel's Formula - sisman

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462 Part V: Miscellaneous <strong>Formula</strong> Techniques When Excel inserts a trendline, it may look like a new data series, but it’s not. It’s a new chart element with a name, such as Series 1 Trendline 1. And, of course, a trendline does not have a corresponding SERIES formula. Linear trendlines Figure 17-23 shows two charts. The first chart depicts a data series without a trendline. As you can see, the data seems to be “linear” over time. The next chart is the same chart but with a linear trendline that shows the trend in the data. Figure 17-23: Adding a linear trendline to an existing chart. The workbook used in this example is available on the companion CD-ROM. The file is named linear trendline.xlsx. The second chart also uses the options to display the equation and the R-squared value. In this example, the equation is as follows: y = 53.19x + 514.9
Chapter 17: Charting Techniques 463 The R-squared value is 0.67. What do these numbers mean? You can describe a straight line with an equation of the form: y = mx +b For each value of x (the horizontal axis), you can calculate the predicted value of y (the value on the trendline) by using this equation. The variable m represents the slope of the line and b represents the y-intercept. For example, when x is 3 (for March), the predicted value of y is 674.47, calculated with this formula: =(53.19*3)+514.9 The R-squared value, sometimes referred to as the coefficient of determination, ranges in value from 0 to 1. This value indicates how closely the estimated values for the trendline correspond to the actual data. A trendline is most reliable when its R-squared value is at or near 1. Calculating the slope and y-intercept As you know, Excel can display the equation for the trendline in a chart. This equation shows the slope (m) and y-intercept (b) of the best-fit trendline. You can calculate the value of the slope and y-intercept yourself, using the LINEST function in a formula. Figure 17-24 shows 10 data points (x values in column B, actual y values in column C). Figure 17-24: Using the LINEST function to calculate slope and y-intercept. The formula that follows is a multicell array formula that displays its result (the slope and y-intercept) in two cells: {=LINEST(C2:C11,B2:B11)}
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Excel ® Microsoft 2010 ® Microsof
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Excel® 2010 Formulas Published by
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Publisher’s Acknowledgments We’
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vi Part VII: Appendixes Appendix A:
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viii Keyboard shortcuts . . . . . .
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x Potential Problems with Names . .
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xii Date-Related Functions . . . .
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xiv Working with Tables . . . . . .
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xvi Chapter 13: Financial Schedules
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xviii Creating Links to Cells . . .
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xx Excel’s Auditing Tools . . . .
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xxii Does the text match a pattern?
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1 INTRODUCTION Welcome to Excel 201
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VBA code listings Introduction 3 Do
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Introduction 7 You can also use thi
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Basic Information Chapter 1 Excel i
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Introducing Worksheet Functions In
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Table 10-1: Excel Rounding Function
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Round it up to the nearest penny.
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Introducing Arrays In This Chapter
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Chapter 14: Introducing Arrays 369
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Figure 14-4: Creating a named array
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Introducing the Visual Basic Editor
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Immediate window Chapter 22: Introd
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Appendixes Appendix A Excel Functio
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770 Index array formulas (continued
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786 Index VBA (continued) data type
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788 Index
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5. Limited Warranty. (a) WPI warran
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