We all know that VLOOKUP (and its cousins MATCH, HLOOKUP and LOOKUP) are great for finding information you want. But they are helpless when you want to do a case-sensitive lookup.
So how do we write case sensitive VLOOKUP formulas?
Simple. We can use EXACT formula.
What exactly is the EXACT formula?
EXACT formula checks if 2 cells have exactly the same value. And it is very SenSITive.
For example, =EXACT("this","THIS") will be false , where as =”this”=”THIS” will be true.
Using EXACT formula to do case sensitive lookups
Let’s say the value you are looking up is in cell F4, the lookup range is B5:C11 (column B has lookup value and column C has value you want).
You can use EXACT formula along with INDEX + MATCH or SUMPRODUCT to do case sensitive lookup. Let’s look at each of these variations:
Using EXACT & INDEX + MATCH formulas to do case sensitive lookups:
Formula: {=INDEX($C$5:$C$11,MATCH(TRUE,EXACT($F$4,$B$5:$B$11),0))}
How it works?
Let’s go from inside out.
EXACT(F4, B5:B11) portion: This will return an array of TRUE & FALSE values. Something like this:
{FALSE;FALSE;TRUE;FALSE;FALSE;FALSE;FALSE}
MATCH(TRUE, EXACT(...), 0) portion: Now we look for TRUE in all the values EXACT has returned. This will be 3 (since 3rd value in the array is true).
INDEX(C5:C11, MATCH(...)) portion: This will simply return the 3rd value in the column C, ie an exact match.
{INDEX(...)}: Because this is an array formula, you must press CTRL+Shift+Enter after typing it. The {} indicates this.
Related: Learn about INDEX+MATCH combination.
Using EXACT + SUMPRODUCT formula:
If the lookup result is a number (or date) and there is only matching value, you can use SUMPRODUCT to do case sensitive lookups.
Related: Introduction Excel SUMPRODUCT formula.
Formula:=SUMPRODUCT(EXACT($F$4,$B$5:$B$11) * ($C$5:$C$11))
How it works?
The EXACT(F4, B5:B11) portion returns a bunch of TRUE & FALSE values.
When you multiply these TRUE & FALSE values with column C (which contains numbers), the end result will be the value you are looking for.
This is possible because in Excel, TRUE is 1 and FALSE is 0. So when you multiply a list of logical values (true / false) with a list of numbers, everything that corresponds to false becomes 0.
So we get,
{0;0;30;0;0;0;0}
SUMPRODUCT simply adds up these numbers and returns 30 as result.
Note: This formula won’t work if you have text values in column C or more than one TRUE in EXACT result (ie multiple values match the lookup criteria).
For advanced users: SUMPRODUCT – Advanced scenarios
Download case sensitive lookup – example workbook
Please click here to download case sensitive lookup example workbook. Examine the formulas to learn more about this technique.
More ways to lookup:
- 2 Way lookups – lookup in top row & left column and find matching value.
- Wild lookups – lookup a value that starts with Som & ends with ne.
- Range lookup – find a value inside the lower & upper boundary
- Last lookup – find the last value in a list of multiple matches.
- Multi-condition lookups – lookup based on multiple conditions
- Take our VLOOKUP Quiz – how well do you know VLOOKUP?
Get The VLOOKUP Book: If you are always looking for help about VLOOKUP, look no further. Get my book, it’s going to make you awesome in VLOOKUP, INDEX+MATCH, multi-condition lookups, 2 way lookups and more. Click here to order your copy.
How do you write case sensitive lookups?
Let me be honest. I haven’t had a single case sensitive lookup scenario in last year. But email from a reader prompted me to research this problem.
What about you? Do you often deal with case-sensitive data? How do you write case sensitive lookups? Please share your tips & formulas in comments section.
15 Responses to “Modeling Interest During Construction (IDC) – Excel Project Finance”
Thanks again for a very helpful post.
I had a similar problem when trying to model a balance sheet and profit and loss projection. The problem was that interest expense (in P&L) was dependent on a cash shortfall (in BS) which had to be funded. The cash shortfall depended on how much interest was paid, so the mutual dependency made a circular reference.
I addressed it with a macro that calculated interest outside of the P&L, then pasted the calculated amount into the P&L as a value. The model was out of balance, but by repeating the pasting and calculating loop the imbalance reduced to zero. It was a bit messy, and had to be repeated every time a line changed - but it worked.
If I have to do it again I'll read this article again first and see if it can be done more elegantly.
Hi,
The use of a circular reference can be avoided in this case. Just make use of the geometric sum to calculate the interest required. I’ll walk through the example from the spreadsheet.
First calculate the cash needed each year without the interest expense. So you year 1 you need 55 Mn, year 2 105 Mn, and 190 Mn for year 3. The total amount to borrow for year 1 is then (50 Mn)/(1-interest_rate) = (50)/(1-0.1). For years 2 and subsequent the amount borrowed is the cash needed in that year plus the interest_rate times the amount already borrowed. For year 2 (105 + interest_rate * sum(previous debt raised))/(1-interest_rate)=(105+0.1*61.1)/(1-0.1).
This process avoids the need for a circular reference, and makes the calculation more stable.
Thanks,
Tristan
The question is for the year 1 in your case, the amount works out to 45 mn. However in the year 2 you have applied the loan amount as 61.1 mn.
Am I missing something ! Please help !
very helpful information!!!
using circular references and to make model more stable we can use combination of "IF" and "ISERROR" functions. i.e
=if(iserror(formula1),"",(formula1))
this formula will return blank value if there is any error otherwise give the result required.
I usually use this in my models and it makes them very stable......
🙂 🙂 🙂
@Terry: Thats right. Exactly same problem is seen in Interest - Cash cycle in P&L and Cash Flow statement as well. In our trainings on financial modeling in excel, we demonstrate using both the circular loops as well as the macros to take care of this problem. Circular loops have their own pitfalls. If the model enters into a state of error, the error percolates!
@Tristan: Thanks for pointing out. I agree with you that if circular loops can be avoided, they should be avoided.
@Yogesh: This is one way of avoiding the problem. Although circular loops have another problem that they make your sheet slower. Each time, there is a change in the sheet, all the calculations are redone. So if they can be avoided, they should be avoided.
Please note that this was an example (a large one indeed) and I didn't have space to speak about the pitfalls of this approach! I just wanted to illustrate an approach and am glad that some of you found it useful!
I think while posting, there is an error in the images! The last image should be flipped with the one that is posted in step VII!
I think you can try the following simple solution given by Microsoft itself to make the circular works:
Windows: Excel Options -> Formulas -> Put a tick on "Enable iterative calculation"
Mac: Excel -> Preference -> Calculation ->Put a tick on "Limit iteration"
You can change the maximum number of calculation iterations as well as the maximum changes which iteration stops for goal seeking or for resolving circular references based on the number you type in the maximum change box.
Thank you.
Hey All
I heard that we can take care of the circularity with the help of macro for IDC. Can anybody help on the steps to construct the macro for the same.
Regards
Vinay
Hi Vinay,
If you look closely, you are essentially copying the values from the interest calculation to the IDC in project cost.
Basically you can record a macro, that takes the values from interest and pastes special the values in IDC row in project cost.
Then you can run that recorded code in a for loop.
Hope this helps.
Thanks Param for reply.
But before calculating interest, i need to provide for Upfront Equity and Equity, which are essentially part of total project cost. Hence, i need to put in Upfront Equity and Equity to calculate the IDC which is again hitting the total project cost.
Bit of confused on how to remove this circular reference.
Regards
Vinay
Wow, this was a brilliantly simple post. I was looking online for a while before I found this page. Never seen this been explained so beautifully yet so crisply before. Thanks for saving my ass at work! (i'm relatively new to finance + modeling)
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[…] Project Finance Modeling using Excel – Part 1 & Part 2 […]
I have been reading your blog since my college days. Today, I'm writing just to say thanks.
We have calculated Financial Rate of return of a hydropower projects, and the observer has raised an observation regarding Total Project cost with IDC Rs. 8616.01 million (PKR) and with-out IDC 8352.46 million (PKR). How does the Financial nalysis be calculated on the basis of with-out IDC Or With IDC?????
Please helpf. if possible to spare some time.