How to use the Excel POWER function

In mathematics we had exponents which were the power to a given any base number, in excel we have a similar inbuilt function known as POWER function which is used to calculate the power of a given number or base, to use this function we can use the keyword =POWER( in a cell and provide two arguments one as number and another as power.

Syntax: =POWER (number, power)

The POWER function syntax has the following arguments:

  • Number    Required. The base number. It can be any real number.
  • Power    Required. The exponent to which the base number is raised.

Example: Let’s look at some Excel POWER function examples and explore how to use the POWER function as a worksheet function in Microsoft Excel:

Excel POWER function - How to use the Excel POWER function

Syntax:  =POWER(A2,B2)

Result:

POWER function - How to use the Excel POWER function

Based on the Excel spreadsheet above, the following POWER examples would return:

Syntax:=POWER(A3,B3)
Result: 123

Syntax:=POWER(A4,B4)
Result: 3

Syntax:=POWER(A5,B5)
Result: 5

Syntax:=POWER(A6,B6)
Result: 9.882117688

Syntax:=POWER(A7,B7)
Result: 2

Syntax:=POWER(A8,B8)
Result: 9

Syntax: =POWER(A9,B9)
Result: 4096

Syntax: =POWER(A10,B10)
Result: 3125

Syntax: =POWER(A11,B11)
Result: 2401

Syntax: =POWER(A12,B12)
Result: 256

Example 2: For different mathematical calculations, we can use POWER function in Excel.

Suppose, we have to find out the compound interest for which the formula is

Amount = Principal (1 + r/n)nt

  • Where r is the rate of interest, n is number of times interest is compounded per year and t is the time
  • If an amount of $10000 is deposited into an account (saving) at an interest rate of 7% annually, compounded monthly, the value of the investment after 6 years can be calculated using the above compound interest formula.
  • Where Principal = $4000, rate = 7/100 that is 0.07, n =12 (compounded monthly), time =6 years
READ:  How to use the Excel EVEN function

Using the compound interest formula and implementing it into excel formula using the POWER function in Excel:

Syntax: =B2*(POWER((1+(B3/B5)),(B4*B5)))

Result:

POWER function in excel - How to use the Excel POWER function

The investment balance after 6 years is $15.201,05504

Note:

  • For a better understanding, we can represent the power function in this way. POWER(X, Y) or POWER(X^Y) both are same only.
  • The POWER function is applied only for numerical values. Anything other than numerical values, it will throw the error as #VALUE! If any one of the parameters contains non-numerical values, we will get the error. Below image shows the example of the error.

Add a Comment

Your email address will not be published. Required fields are marked *