What does the term 'formula' refer to in a spreadsheet?

In the context of a spreadsheet, the term 'formula' specifically refers to a calculation that produces a result. Formulas are used to perform mathematical operations on data contained in cells, enabling users to analyze and manipulate information efficiently. For instance, you might create a formula to sum a range of numbers, calculate an average, or compute percentages.

Formulas typically begin with an equals sign to indicate that what follows is a calculation. For example, an entry like "=SUM(A1:A5)" would add up the values from cells A1 through A5 and display the total in the cell where the formula is entered. This functionality is a key feature of spreadsheets, allowing dynamic updates — if the values in the referenced cells change, the result of the formula automatically updates as well.

The other concepts mentioned, such as static text entries or visual chart representations, describe different aspects of spreadsheet functionality but do not define what a formula is. Similarly, arranging cells pertains to the organization of the layout and data structure, which is distinct from the calculation aspect defined by a formula.