Relative references change when a formula is copied to another cell, while absolute references remain fixed. In Excel, an absolute reference uses dollar signs such as $A$1.

This distinction is important when building formulas that need to reuse a constant value, like a tax rate or conversion factor, across many rows. Knowing when to lock a cell reference prevents calculation errors.

Key Highlights

• Relative references adjust automatically
• Absolute references stay fixed
• Essential for reusable formulas

Reference:

Wikipedia: Spreadsheet

https://en.wikipedia.org/wiki/Spreadsheet