5 Ways To Multiply By A Percentage In Excel

Multiplying numbers by a percentage is a common task in Excel, and there are several ways to accomplish this. Whether you're calculating discounts, tips, or interest rates, being able to multiply by a percentage in Excel can save you time and improve your productivity. In this article, we'll explore five different methods for multiplying by a percentage in Excel, along with examples and illustrations to help you master each technique.

Method 1: Multiplying by a Percentage Using a Formula

One of the most straightforward ways to multiply by a percentage in Excel is to use a formula. To do this, follow these steps:

• Enter the number you want to multiply in one cell (e.g., A1).
• Enter the percentage you want to multiply by in another cell (e.g., B1). Make sure to enter the percentage as a decimal (e.g., 10% becomes 0.1).
• In a third cell, enter the formula =A1*B1. This will multiply the number in A1 by the percentage in B1.

For example, if you want to calculate a 10% discount on a price of $100, you would enter:

• A1: 100
• B1: 0.1 (10% as a decimal)
• C1: =A1*B1 ( formula to calculate the discount)

The result in C1 would be 10, which is the discount amount.

Example: Calculating a Tip

Suppose you want to calculate a 15% tip on a restaurant bill of $50. You can use the same formula:

• A1: 50
• B1: 0.15 (15% as a decimal)
• C1: =A1*B1 ( formula to calculate the tip)

The result in C1 would be 7.5, which is the tip amount.

Method 2: Using the PERCENTAGE Function

Excel has a built-in function called PERCENTAGE that can be used to multiply by a percentage. The syntax for this function is:

PERCENTAGE(number, percentage)

Where:

• Number is the number you want to multiply.
• Percentage is the percentage you want to multiply by.

For example, to calculate a 20% discount on a price of $200, you would enter:

=PERCENTAGE(200, 20%)

The result would be 40, which is the discount amount.

Example: Calculating a Bonus

Suppose you want to calculate a 10% bonus on an employee's salary of $60,000. You can use the PERCENTAGE function:

=PERCENTAGE(60000, 10%)

The result would be 6000, which is the bonus amount.

Method 3: Using a Percentage Formula with Multiple Cells

If you have a range of cells that you want to multiply by a percentage, you can use a formula that references the entire range. For example, suppose you have a list of prices in cells A1:A10 and you want to calculate a 15% discount on each price. You can enter the formula:

=A1:A10*0.15

This will multiply each price in the range by 15%.

Example: Calculating a Sales Tax

Suppose you have a list of sales amounts in cells A1:A10 and you want to calculate a 8% sales tax on each amount. You can use the same formula:

=A1:A10*0.08

This will calculate the sales tax for each amount in the range.

Method 4: Using a Formula with a Percentage Dropdown

If you have a percentage that you want to apply to a range of cells, but you want to make it easy to change the percentage, you can use a formula that references a dropdown list. To create a dropdown list, follow these steps:

• Select the cell where you want to create the dropdown list.
• Go to the Data tab in the ribbon.
• Click on Data Validation.
• Select List from the Allow dropdown menu.
• Enter the range of cells that contains the percentages you want to use.
• Click OK.

Once you've created the dropdown list, you can use a formula that references the selected percentage. For example:

=A1:B10*(C1/100)

Where:

• A1:B10 is the range of cells that you want to multiply.
• C1 is the cell that contains the dropdown list.

This formula will multiply the range of cells by the selected percentage.

Example: Calculating a Commission

Suppose you have a list of sales amounts in cells A1:A10 and you want to calculate a commission that varies depending on the sales amount. You can create a dropdown list of commission rates and use a formula that references the selected rate.

Method 5: Using a Formula with a Named Range

If you have a percentage that you want to apply to a range of cells, but you want to make it easy to change the percentage, you can use a formula that references a named range. To create a named range, follow these steps:

• Select the cell that contains the percentage.
• Go to the Formulas tab in the ribbon.
• Click on Define Name.
• Enter a name for the range (e.g., "CommissionRate").
• Click OK.

Once you've created the named range, you can use a formula that references the named range. For example:

=A1:B10*CommissionRate

This formula will multiply the range of cells by the percentage in the named range.

Example: Calculating a Royalty

Suppose you have a list of book sales in cells A1:A10 and you want to calculate a royalty that varies depending on the book's genre. You can create a named range for the royalty rate and use a formula that references the named range.

Multiplying by a Percentage in Excel Image Gallery

We hope this article has helped you to learn the different ways to multiply by a percentage in Excel. Whether you're using a formula, the PERCENTAGE function, or a named range, being able to multiply by a percentage is an essential skill for any Excel user. If you have any questions or need further assistance, please don't hesitate to ask.