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To extract the last name from a full name using the TEXTAFTER function in Excel, begin with the formula: `=TEXTAFTER(cell, " ", -1)`. Here, the first argument is the cell containing the full name, and the second argument specifies the delimiter, which is a space (" "). The formula is designed to return the last name by looking for the last instance of the space, and the instance number is set to -1 to indicate that it should retrieve text after the last space. Once the formula is established, it can be copied into the cells below to apply the same extraction to additional names.