I am a little ashamed to admit this but I was comparing the wrong ranges. It was supposed to be compare Range "A7:A507" and Add range "E7:E507".

So yes xld your formula works perfectly. I was not getting it right the first time I think I understand it better now. Yet practice makes the master. I fixed the issue with my ranges and the if statement a little bit to fit my needs? But who needs a formula when you can get a mega formula to make all the job for you and make sure all bases are covered.

So here is my final formula. I tried to Improve it to make it shorter but I failed. 

=IF(N13=0,SUM(E7:E507),SUMPRODUCT(--(MID(A7:A507,2,1)="1"),--(A7:A507<>5114),--(A7:A507<>5124),--(A7:A507<>5113),--(A7:A507<>5123),--(A7:A507<>5116),--(A7:A507<>5118),E7:E507))
One thing is for sure it works

Ps. Sorry I took so long to respond busy day today at work