From the course: Excel: Financial Modeling with Dynamic Arrays

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Limitations and dangers of array functions

Limitations and dangers of array functions - Microsoft Excel Tutorial

From the course: Excel: Financial Modeling with Dynamic Arrays

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Limitations and dangers of array functions

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- [Instructor] When you are building financial models in Excel, it's a good idea to be in the habit of checking formulas for errors as you build. And working with dynamic arrays is no exception. There are several types of model errors that we should be careful of. Formula errors are the easiest to make, but the easiest to fix. This might be where you simply pick up the wrong cell in your calculation. So here's an example that we created in a previous movie, and let's say you picked up the wrong range. It's quite hard to pick up the wrong range when you're using dynamic arrays. But let's say instead of referencing the index, sequence function, we use the year instead. And you can see pretty quickly that there's a problem. Here's one that's perhaps a little more difficult to identify. You might use your Alt= shortcut for the sum, and it automatically includes the year and the secrets amount. And you might easily see that the problem is there, but as later years go on, you might miss…

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