11 Expert Excel Dynamic Formula Tutorials



This tutorial shows how modern Excel functions can simplify complex business tasks using dynamic, flexible formulas. Through practical examples, you’ll learn to filter, look up, calculate, analyze, sort, and build dynamic reports with fewer formulas and no unnecessary helper columns.


Table of Contents

Introduction. 3

1. Dynamic Sales Filter with LET + FILTER.. 3

2. Multi-Criteria Lookup with XLOOKUP. 4

3. Progressive Tiered Commission with MAP + LAMBDA. 5

4. Running Sales Total with SCAN.. 7

5. Sequential Inventory Balance with SCAN.. 8

6. Department KPI Analysis with BYROW.. 9

7. Quarterly Analysis with BYCOL. 10

8. Dynamic KPI Matrix with MAKEARRAY. 11

9. Dynamic Top 5 Sales with TAKE + SORTBY. 12

10. Dynamic Report Cleaning with DROP. 13

11. Dynamic Column Selection with CHOOSECOLS + XMATCH.. 14

Complete Formula Reference. 16

How These Functions Work Together 17

 


Introduction

Modern Excel has evolved far beyond basic calculations and traditional worksheet formulas. With dynamic-array and advanced functions such as LET, XLOOKUP, LAMBDA, MAP, SCAN, BYROW, BYCOL, MAKEARRAY, TAKE, DROP, SORTBY, CHOOSECOLS, and XMATCH, you can build powerful solutions with fewer formulas and less manual work.

The examples are designed to show not only what each formula does, but also how the logic works and where the technique can be applied in real-world Excel projects. By the end, you will understand how modern Excel functions can work together to create dynamic, automated, and user-friendly reports without relying heavily on helper columns or repetitive formulas.

1. Dynamic Sales Filter with LET + FILTER

Imagine that you have a sales database containing orders from different regions. You want to create a report where the user can select a region, and Excel automatically displays only the sales records for that region. If the user changes the selection, the report updates automatically. This is a useful technique for dynamic reports and interactive dashboards.

Step 1: Create the sales data

Enter the headings in A4:D4: Order, Region, Product, Sales. Then enter:



In G1, enter North. This cell will be the region selector.


Step 2: Enter the formula



=LET(data,A5:D14,region,G1,FILTER(data,INDEX(data,,2)=region,"No records found"))

Step 3: Understand the formula

LET creates names for parts of the formula. Here, data represents A5:D14 and region represents G1. This makes the formula easier to read. INDEX(data,,2) returns the second column, which is Region. FILTER then returns only rows where the Region matches the selected value.

For North, the result is:


Change G1 to South and the result automatically changes.

Practical uses

  • Sales dashboards
  • Regional reports
  • Management reports
  • Dynamic search panels
  • Customer and product reports
  • Interactive Excel dashboards

2. Multi-Criteria Lookup with XLOOKUP

Suppose you have employee information and want to find an employee's salary using two conditions at the same time: Employee ID and Department. This is a multi-criteria lookup.

Step 1: Create the employee data

Enter the headings in A4:E4: Employee ID, Employee, Department, Year, Salary. Then enter:



Enter E004 in H5 and IT in H6.



Step 2: Enter the formula

=XLOOKUP(1,(A5:A14=H5)*(C5:C14=H6),E5:E14,"Not Found")


The result is 95,000.



How the formula works

A5:A14=H5 checks the Employee ID. C5:C14=H6 checks the Department. Multiplying the two conditions creates an AND condition. Only the row where both conditions are TRUE produces 1. XLOOKUP searches for 1 and returns the matching salary.

Practical uses

  • Employee lookup
  • Customer lookup
  • Product lookup
  • Invoice lookup
  • Department-specific records
  • Multi-condition dashboards

3. Progressive Tiered Commission with MAP + LAMBDA

Suppose a company pays salespeople using a progressive commission system. The first 50,000 receives 2%, the next 50,000 receives 5%, the next 50,000 receives 8%, and any amount above 150,000 receives 10%. Each portion must be calculated using its own rate.

Step 1: Create the salesperson data

In A4:B14, enter the headings Salesperson and Sales, followed by:



Step 2: Create the commission structure

In E4:F8, enter the headings Threshold and Rate, followed by:



Step 3: Enter the formula



=SUM(MAP($E$5:$E$8,LAMBDA(tier,MAX(0,MIN(B5-tier,IFERROR(INDEX($E$5:$E$8,MATCH(tier,$E$5:$E$8,0)+1)-tier,B5-tier)))))*$F$5:$F$8)

Copy the formula down to C14.

Results



Understand Emma's calculation

Emma has sales of 220,000. The formula divides the sales into the correct tiers:

  • 50,000 × 2% = 1,000
  • 50,000 × 5% = 2,500
  • 50,000 × 8% = 4,000
  • 70,000 × 10% = 7,000

Total commission = 14,500.

Why this formula is advanced

MAP processes each tier independently. LAMBDA defines the calculation for each tier. MIN limits the amount assigned to a tier. MAX prevents negative values. INDEX and MATCH identify the next threshold.

Practical uses

  • Sales commissions
  • Tax brackets
  • Employee bonuses
  • Progressive discounts
  • Pricing tiers
  • Performance incentives

4. Running Sales Total with SCAN

Suppose a company records daily sales and wants to see cumulative sales after every day. SCAN can calculate the complete running total with one formula.

Step 1: Enter the data

In A4:B14, enter:



Step 2: Enter the formula



=SCAN(0,B5:B14,LAMBDA(total,value,total+value))

Result



SCAN starts with 0, adds the first value, then adds the next value to the previous result. Unlike a normal SUM, SCAN returns every intermediate result.

Practical uses

  • Running sales
  • Cumulative revenue
  • Cumulative expenses
  • Account balances
  • Inventory balances
  • Project progress

5. Sequential Inventory Balance with SCAN

A warehouse receives and sells stock throughout the day. You want Excel to calculate the inventory balance after every transaction. Stock-in increases inventory, while a sale decreases inventory.

Step 1: Enter the data

In A4:C14, enter:



Step 2: Enter the formula



=SCAN(0,C5:C14*IF(B5:B14="Sale",-1,1),LAMBDA(balance,change,balance+change))

Result



IF(B5:B14="Sale",-1,1) changes sales into negative quantities. For example, Sale 15 becomes -15, while Stock In 50 remains +50. SCAN then continuously adds the changes.

6. Department KPI Analysis with BYROW

A company tracks department performance across four quarters and wants one average KPI for each department. BYROW can apply the same calculation to every row.

Step 1: Enter the data

In A4:E14, enter:



Step 2: Enter the formula



=BYROW(B5:E14,LAMBDA(row,AVERAGE(row)))

Result



BYROW takes one row at a time. LAMBDA(row,AVERAGE(row)) tells Excel to calculate the average of the current row. Excel automatically repeats this for every department.

7. Quarterly Analysis with BYCOL

Now suppose management wants the average KPI for each quarter rather than each department. BYCOL performs one calculation for each column.

Formula



=BYCOL(B5:E14,LAMBDA(col,AVERAGE(col)))

The results are 83.8 for Q1, 85.9 for Q2, 85.8 for Q3, and 89.1 for Q4.

BYROW versus BYCOL

BYROW works row by row:

=BYROW(B5:E14,LAMBDA(row,AVERAGE(row)))

BYCOL works column by column:

=BYCOL(B5:E14,LAMBDA(col,AVERAGE(col)))

A simple way to remember the difference is: BYROW gives one result for each row, while BYCOL gives one result for each column.

Practical uses

  • Monthly averages
  • Quarterly analysis
  • Yearly analysis
  • Regional comparisons
  • Product comparisons
  • Performance analysis

8. Dynamic KPI Matrix with MAKEARRAY

Suppose a company has employee targets and management wants a new target that is automatically 10% higher. MAKEARRAY can generate the complete output dynamically.

Step 1: Enter the data

In A4:B14, enter:



Step 2: Enter the formula



=MAKEARRAY(10,2,LAMBDA(r,c,IF(c=1,INDEX(A5:A14,r),INDEX(B5:B14,r)*1.1)))

Result



MAKEARRAY(10,2) creates a 10-row by 2-column dynamic array. r represents the current row and c represents the current column. When c equals 1, Excel returns the employee name. Otherwise it returns the original target multiplied by 1.1.

Practical uses

  • Target planning
  •  Forecast models
  •  Budget scenarios
  • KPI matrices
  • Automated planning
  • Scenario analysis

9. Dynamic Top 5 Sales with TAKE + SORTBY

A sales manager wants a dynamic report showing the five highest-performing salespeople. The ranking should update automatically when sales values change.

Step 1: Enter the data

In A4:B14, enter:



Step 2: Enter the formula



=TAKE(SORTBY(A5:B14,B5:B14,-1),5)

Result


SORTBY first sorts the data by Sales from largest to smallest. TAKE then returns the first five rows. Because the result is dynamic, the Top 5 list changes automatically when the source data changes.

Practical uses

  • Top 5 salespeople
  • Top 10 customers
  • Best-selling products
  • Highest-performing branches
  • Employee rankings
  • Dashboard leaderboards

10. Dynamic Report Cleaning with DROP

Imported reports often contain extra rows, such as a report title at the beginning and a total row at the end. DROP can remove those unwanted rows while keeping the actual records.

Step 1: Enter the data

In A4:C15, enter:



Step 2: Enter the formula



=DROP(DROP(A5:C15,1),-1)

The first DROP removes the first row. The second DROP removes the last row. The final output therefore contains only the product records.

Practical uses

  • Accounting exports
  • ERP reports
  • CSV imports
  • System-generated reports
  • Sales reports
  • Financial reports
  • Imported datasets

11. Dynamic Column Selection with CHOOSECOLS + XMATCH

Imagine you are creating an Excel reporting system. Your source contains ID, Region, Product, Sales, and Profit, but different users want different columns. Instead of creating several reports, let users select the columns they want.

Step 1: Create the data

In A4:E14, enter:



Step 2: Create the column selectors



In H1:J1, enter Region, Product, Profit.

Step 3: Enter the formula



=CHOOSECOLS(A4:E14,XMATCH(H1:J1,A4:E4))

Result



Step 4: Change the selected columns

Change H1:J1 to ID, Sales, Profit. The report automatically changes.

XMATCH finds the positions of the selected headings. CHOOSECOLS then returns those columns. This creates a flexible report builder controlled by the user's selections.

Practical uses

  • Interactive dashboards
  • Dynamic report builders
  • Management reports
  • User-controlled reports
  • Custom analysis tools
  • Flexible data views

Complete Formula Reference

1. Dynamic Sales Filter

=LET(data,A5:D14,region,G1,FILTER(data,INDEX(data,,2)=region,"No records found"))

2. Multi-Criteria Lookup

=XLOOKUP(1,(A5:A14=H5)*(C5:C14=H6),E5:E14,"Not Found")

3. Progressive Commission

=SUM(MAP($E$5:$E$8,LAMBDA(tier,MAX(0,MIN(B5-tier,IFERROR(INDEX($E$5:$E$8,MATCH(tier,$E$5:$E$8,0)+1)-tier,B5-tier)))))*$F$5:$F$8)

4. Running Sales

=SCAN(0,B5:B14,LAMBDA(total,value,total+value))

5. Inventory Balance

=SCAN(0,C5:C14*IF(B5:B14="Sale",-1,1),LAMBDA(balance,change,balance+change))

6. Department KPI

=BYROW(B5:E14,LAMBDA(row,AVERAGE(row)))

7. Quarterly KPI

=BYCOL(B5:E14,LAMBDA(col,AVERAGE(col)))

8. Dynamic KPI Matrix

=MAKEARRAY(10,2,LAMBDA(r,c,IF(c=1,INDEX(A5:A14,r),INDEX(B5:B14,r)*1.1)))

9. Top 5 Sales

=TAKE(SORTBY(A5:B14,B5:B14,-1),5)

10. Remove Header/Footer

=DROP(DROP(A5:C15,1),-1)

11. Dynamic Columns

=CHOOSECOLS(A4:E14,XMATCH(H1:J1,A4:E4))

How These Functions Work Together

The real power of modern Excel comes from combining functions. 

LET + FILTER is excellent for dynamic filtering. You can use it to build a dashboard where a user selects a region or category and the complete report updates automatically.

XLOOKUP + Boolean logic is useful when a lookup needs multiple conditions. Instead of creating helper columns, the conditions can be combined directly inside the lookup formula.

MAP + LAMBDA is useful when you have a repeated calculation but the calculation is more complicated than a normal Excel function. The progressive commission example demonstrates this approach.

SCAN + LAMBDA is useful when every result depends on the previous result. This makes it ideal for running totals, balances, inventory, and cumulative calculations.

BYROW and BYCOL are useful when working with a matrix of values. BYROW calculates one result per row, while BYCOL calculates one result per column.

MAKEARRAY is useful when you want Excel to generate an entire dynamic array based on a custom rule.

TAKE + SORTBY is a simple but powerful combination for creating Top 5, Top 10, or other ranking reports.

DROP is useful when imported data contains unnecessary rows that need to be removed dynamically.

CHOOSECOLS + XMATCH is particularly useful for interactive reports because users can decide which columns they want to see.



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