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SharePoint 2010 ISBLANK Calculated Column Question

In a calculated column, I'm trying to return a date for the column value. If the old reporting date is blank, then I am returning the last modified date.

Here's the code:

=IF(ISBLANK([Old Reporting Date]),DATE(YEAR(Modified),MONTH(Modified),1)-1,[Old Reporting Date])

If the old reporting date is blank, instead of returning the Modified date, the column returns a "3"...which is a total error.

Please help.


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