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To replace text in a cell in Excel, use the SUBSTITUTE function. For example, if the sentence is "this is an amazing story and I'd love to hear this story," you would type `=SUBSTITUTE(cell_reference, "story", "tale of wonder", 2)`. This indicates you want to replace the second occurrence of "story" with "tale of wonder." After applying this formula, the result will be "this is an amazing story and I love to hear this tale of wonder."