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This tutorial demonstrates a simple trick to reduce the size of an Excel file by taking specific actions such as removing conditional formatting, using paste special values, clearing unnecessary formatting like border and text style, and unhiding hidden columns, rows, and sheets before deleting them. By following these steps, the size of the Excel file can be reduced. The process involves inputting row data, copying and pasting cells on entire columns, saving the file, and then changing the file format from an Excel workbook to an Excel binary workbook to further reduce the file size.