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In this video tutorial, we learn how to use custom number formatting to properly format telephone numbers in a spreadsheet. This is helpful for maintaining consistency and aesthetics when entering phone numbers. By creating a custom number format, we can ensure that phone numbers are displayed in the desired format, such as with parentheses and dashes. To do this, simply select the cell, go to format, then choose custom number format and enter the desired format. This simple process can make a spreadsheet more organized and visually appealing.