In this article, we will discuss Circular Reference error messages and how to troubleshoot the formula with the Circular Reference.
A Circular Reference occurs when you are referencing the variable being used in the formula. A few examples of this include:
Variable A uses future revenue in the formula while the constituting revenue streams are derived from variable A
Variable A uses future expense in the formula while the constituting expenses are derived from variable A
Variable A is derived from Variable B, while Variable B itself is derived from Variable A
When a circular reference occurs, you can fix this by referencing a past date or referencing a different variable in the formula. See example below: