Using Percent

[Traci]

I am setting up payroll, in the first cell is gross wages, the next cell
calculates gross wages by 6.2%. =product(K5,6.2%)Each pay period is a row,
so at the end of the month I have the totals for each column, however, when
the column adds the numbers in the cells that calculated the gross wages by
6.2% it is off by a penny. Not all the time is it off, just here and there.
I have tried using .062 instead of the percent sign and no luck there.
Thanks for any help!!

 

[Gary''s Student]

=ROUND(PRODUCT(K5,6.2%),2)

 

[GuruGirl]

If you are an accountant you will not want to use the ROUND function any
longer in Excel 2007. The reason is that the round function does not
properly apply the 4/5 rounding convention for financial calculations.

if you try to trick it by using additional digits such as =round(a1,3)
instead of 2, your %'s or totals will not equal 100%.

This is very aggravating, and there is no way to consistently and accurately
round to the 4/5 convention.

Do not use the Round function if you are calculating financial results with
large numbers, your results will contain errors.