If you have information stored on one worksheet that you want to use on other sheets, you can create a name that describes the cell or range. A descriptive name in a formula can make it easier to understand the purpose of the formula. For example, the formula =SUM(FirstQuarterSales) might be easier to identify than =SUM(Sales!C20:C30). In this example, the name FirstQuarterSales represents the range C20:C30 on the worksheet named Sales.

Names are available to any sheet. For example, if the name ProjectedSales refers to the range A20:A30 on the first worksheet in a workbook, you can use the name ProjectedSales on any other sheet in the same workbook to refer to range A20:A30 on the first worksheet. Names can also be used to represent formulas or values that do not change (constants). For example, you can use the name SalesTax to represent the sales tax amount (such as 6.2 percent) applied to sales transactions.