Question about excel custom format used by Macabacus

In cells where you input either 0 or 1, the result is no or yes, while excel can still use the cell to make calculations with. They use data validation (only allow values between 0 to 1) and this custom format results in 0 and 1 being displayed as no and yes:

"Yes"_)_%;"ERROR"_)_%;"No"_)_%;"ERROR"_)_%

Anybody who could walk me through how one should interpret that and how that links to the values 0 and 1? I cannot find a custom format in excel that is already set up like that.

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