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In this Microsoft Word tutorial, the presenter demonstrates how to use formulas for simple calculations within the program, similar to those in Excel. They show how to add up columns and rows by selecting cell, going to layout, and using the formula tool. This allows for easy totaling of data in tables or invoices, with the ability to add up numbers to the left of a selected cell. The tutorial also highlights the importance of having totals at the beginning, end, and bottom of rows and columns for better organization and clarity.