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In this Excel tips video, the presenter demonstrates how to remove formulas while retaining data. Using a dataset with revenue, expenses, and calculated net income, the presenter explains that the net income is derived by subtracting expenses from revenue. To remove the formulas yet keep the values, the user can select the entire dataset, copy it, right-click, and choose "Paste Special." In the dialog box, selecting the "Values" option and clicking OK will paste only the values, eliminating the formulas. After performing this action, the formula bar will display the value instead of the formula, confirming the successful removal of formulas.