How do you toggle between absolute and relative references in a formula?

The ability to toggle between absolute and relative references in a formula is crucial when working with formulas in Excel, as it determines how cell references are treated when copied to other cells. Pressing F4 while editing a formula is the standard method for this action. This shortcut cycles through the different reference types: from relative to absolute (e.g., changing A1 to $A$1), then to mixed references (e.g., $A1 and A$1), and back to the original relative reference (e.g., A1).

Using this functionality can streamline the process of adjusting formulas for multiple cells, saving time and reducing the risk of errors that can occur when manually editing references. Understanding how absolute and relative references work ensures that calculations will yield the intended results when formulas are copied across rows or columns in a spreadsheet.