What is the ROUNDDOWN Function?
The ROUNDDOWN Function is categorized under Math and Trigonometry functions. The function will round down towards zero. Basically, it does the opposite of the ROUNDUP function.
As a financial analyst, the ROUNDDOWN function is useful as it helps round a number and eliminate the least significant digits, simplifying the notation but keeping close to the original value.
The ROUNDDOWN function uses the following arguments:
- Number (required argument) – It is a real number that we wish to round down.
- Num_digits (required argument) – It is the number of digits to which we want to round the number.
Now, if the num_digits agument is:
- A positive value that is num_digits > number, it specifies the number of digits is rounded down to the specified number of decimal places.
- Equal to zero, it specifies rounding to the nearest integer.
- A negative value that is num_digits < number, it specifies the number of digits is rounded down to the specified number of decimal places.
How to use the ROUNDDOWN Function in Excel?
To understand the uses of the ROUNDDOWN function, let’s consider an example:
Suppose we are given the following data:
|5.2||0||Round down to the nearest whole number|
|51.42||1||Round down to 1 decimal place|
|5.142||2||Round down to 2 decimal places|
|2785.2||3||Round down to 3 decimal places|
|2785.2||-1||Round down to the nearest 10|
|2785.2||-2||Round down to the nearest 100|
|2785.2||-3||Round down to the nearest 1000|
|2785.2||-4||Round down to the nearest 10000|
The results we get in Excel are shown below:
Things to remember about the ROUNDUP Function
- The ROUNDDOWN function behaves like the ROUND function, except that it always rounds a number down.
- ROUNDDOWN can round either to the left or right of the decimal point.
- Unlike standard rounding, where numbers less than 5 are rounded down, the function always rounds numbers 1-9 down.
Thanks for reading CFI’s guide to important Excel functions! By taking the time to learn and master these functions, you’ll significantly speed up your financial analysis. To learn more, check out these additional resources: