What is circular reference in Excel and when might intentional circular references be useful?

Question

Microsoft Excel — Hard

What is circular reference in Excel and when might intentional circular references be useful?

Accepted Answer

A circular reference in Excel occurs when a formula's calculation depends on its own cell, either directly or indirectly. This creates a loop that can be intentionally utilized with iterative calculation for specific problems. The correct answer is right because it highlights the use of circular references in convergence problems. Other options are incorrect as they misrepresent the concept.