Circular error are caused by adding the cell name of a/an cell to aformula

If you mean a "circular reference error" then you are correct. This error is caused by a formula in a cell that directly or indirectly refers to its own cell. For example, if you place a formula in cell A3 and your formula reads "=A1+A2+A3" you will receive a circular reference warning because the formula contains a reference to the cell that it is in (A3)