DOLLAR function

The DOLLAR function in Excel is used to convert a number into text formatted as a currency, using the dollar sign ($) and applying a specified number of decimal places. It is useful for formatting numbers as monetary values in a standardized way, particularly when working with financial data.

Syntax

=DOLLAR(number, [decimals])

Parameters

• number (required): The numeric value (or cell reference) that you want to convert to a dollar amount.
• decimals (optional): The number of decimal places to include in the result. If omitted, the default is 2 decimal places.

Key Points

• The DOLLAR function always applies the dollar sign ($) and formats the number accordingly.
• If you specify the decimals argument, you can control how many digits are shown after the decimal point. If not specified, it defaults to 2 decimal places.
• The result is text, so it can be used for display purposes but is not suitable for further mathematical operations unless converted back to a numeric value.

Example Usage

1. Basic Conversion to Currency Format

To convert the number 1234.567 into currency format with the default two decimal places:

=DOLLAR(1234.567)

This will return:

$1,234.57

By default, the function rounds the value to two decimal places.

2. Specifying Decimal Places

To convert the number 1234.567 into currency format with one decimal place:

=DOLLAR(1234.567, 1)

This will return:

$1,234.6

If you wanted no decimal places, you could use:

=DOLLAR(1234.567, 0)

This will return:

$1,235

3. Using a Cell Reference

If cell A1 contains the value 5000.75, you can use the DOLLAR function to format it as currency:

=DOLLAR(A1)

This will return:

$5,000.75

4. Negative Numbers

If you apply the DOLLAR function to a negative number, it will still display with the dollar sign and parentheses around the negative value (or a minus sign depending on your locale settings).

For example, for -500:

=DOLLAR(-500)

This will return:

-$500.00

In some regions, it may return the value in parentheses, like:

($500.00)

5. No Decimals for Integer Values

If the number is an integer and you do not specify decimal places, it will still show two decimal places by default.

For example, for 1000:

=DOLLAR(1000)

This will return:

$1,000.00

Notes

• Text Output: The result of the DOLLAR function is text, which means it can be displayed properly as a formatted monetary value but cannot be used directly in further mathematical operations unless converted back into a number using the VALUE function.
• Locale Sensitivity: The DOLLAR function is influenced by the regional settings of your Excel environment. The number format may include comma separators, different decimal symbols (such as a period . or comma ,), and parentheses for negative values, depending on your locale.
• Currency Symbol: By default, the DOLLAR function uses the dollar sign ($). If you need to display a different currency symbol (like €, £, etc.), you would need to manually format the number or use other methods, such as the TEXT function with custom formatting.

Related Functions

• TEXT: You can use the TEXT function to format numbers with custom formats, including currency formats. For example, to format a number as currency:

  =TEXT(A1, "$#,##0.00")
  

• FORMAT: In Excel for the web and newer versions, you may also use built-in formatting tools to apply currency formatting directly to cells without needing a function.

The DOLLAR function is a simple yet effective way to convert numbers into a currency format for display, making it especially useful in financial spreadsheets where you want to show values as monetary amounts with a consistent format.