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How to use the ROUND() function in Excel

This function rounds a number to a specified number of decimal places.

Syntax:
ROUND(number; num_digits)

Arguments:

  • number (required) – The number you want to round.
  • num_digits (required) – The number of decimal places to round to.

Background:
Rounding is essential in our number system, as most values are rounded at some point. Reasons for rounding include:

  • Improving clarity and simplifying calculations (e.g., demographic statistics, pi (π)).
  • Standardizing monetary values (e.g., prices rounded to two decimal places, since the smallest unit is one cent).

Rounding Rules:

  1. If the digit after the rounding position is 5 or greater, the number is rounded up.
  2. If the digit is 4 or less, the number is rounded down.
  3. Negative values are rounded away from zero (i.e., upward in absolute terms).

Examples:

  • $3.2549 → $3.25 (4 ≤ 4, round down)
  • $3.2551 → $3.26 (5 ≥ 5, round up)
  • –$3.2549 → –$3.25
  • –$3.2551 → –$3.26

Effect of num_digits:

  • num_digits > 0: Rounds to the specified decimal places.
  • num_digits = 0: Rounds to the nearest integer.
  • num_digits < 0: Rounds to the left of the decimal point (e.g., tens, hundreds).

Example:

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