What is the purpose of the TEXT function in Excel?

The TEXT function in Excel serves the specific purpose of converting a numerical value into text while allowing for customization of the format in which that number is displayed. This means that if you have a number that you want to represent as text in a particular format, such as showing it as a percentage, a currency, or with a set number of decimal places, the TEXT function allows you to do this efficiently.

For example, using the TEXT function, you could convert the number 1234.56 into the string "$1,234.56" by specifying the appropriate format code. This becomes particularly useful when you need to ensure that numbers maintain a certain visual appearance or format when combined with text strings, such as in reports or when displaying data in user-friendly ways.

In contrast, altering a value to currency directly through formatting changes, changing font size, or concatenating strings does not capture the main utility of the TEXT function, which is centered on formatting numeric information as text with specific visual representations.