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Computers represent decimal fractions in binary (base-2) floating-point, which cannot express most decimal fractions exactly. Values like 0.1 and 0.3 are stored as repeating binary fractions, so arithmetic on them produces tiny rounding residuals (e.g., 1.0000000000000002 instead of 1). These residuals are usually invisible but can break IF comparisons and make totals appear to not sum correctly.
=IF(0.1+0.2=0.3,"OK","Error")=IF(ROUND(0.1+0.2,10)=ROUND(0.3,10),"OK","Error")0.1+0.2 evaluates to 0.30000000000000004 in binary floating-point, so the direct equality check returns 'Error'. Rounding both sides to 10 decimal places eliminates the binary residual while preserving any real numeric difference.
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No. It is a floating-point residual from the intermediate additions. Use =ROUND(SUM(A:A),2) to round the sum to the precision you care about. For currency, always round at the reporting stage.
Format only changes the display — the stored value still has full precision and will be used as-is in further calculations. ROUND changes the stored value. For any calculation that will be used downstream (especially comparisons or totals), use ROUND on the value.
Format the cell as Number with 15 decimal places. Excel and Google Sheets store up to 15 significant digits. This reveals any binary rounding residuals.
Written and reviewed by FormulaCraft Team. Each formula on this page is run through our verification engine before publishing.
Last reviewed: