IF practice: turn a business rule into a formula

IF turns a condition into one of two results. It is useful for stock warnings, target checks, budget labels, and many other small decisions. Before writing the formula, explain the rule in one ordinary sentence.

Translate the rule

Suppose C3 contains the available stock and D3 contains the reorder level. Your rule is: if stock is below the reorder level, return “Restock”; otherwise return “OK.” The spreadsheet version is:

=IF(C3<D3,"Restock","OK")

The first argument is a logical test. The second is the result when that test is true. The third is the result when it is false. Text results need double quotes; cell references and numeric results generally do not.

Choose the boundary carefully

“Below” means less than, written as <. “At or below” means <=. This single extra character changes how a value at the threshold is treated. Write down what should happen when stock is exactly equal to the reorder level before deciding which operator to use.

Add another condition

When two rules must both be satisfied, put AND inside the test. For example, a priority order could require both a specific region and revenue above a threshold. OR is appropriate when either rule qualifies. Keep the true and false results outside AND or OR; those functions build the test, while IF chooses the result.

=IF(AND(B2="North",E2>=700),"Priority","Standard")

Common repairs

If Excel reports a syntax problem, count opening and closing parentheses and check quotation marks. If the formula runs but the label is wrong, inspect the condition and the boundary. If every row shows the same label, check whether you accidentally used the same fixed references when filling down.

Practice the decision

Start with the stock quest, then try target hours and priority orders in the Logic Keep. The goal is to understand why each comparison leads to its output. A formula that returns the expected label once can still contain the wrong business rule.

Continue your adventure

Use the formula spellbook for syntax or explore the full quest map. You can practice in the browser and download workbooks without creating an account.