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In this tutorial, Ted demonstrates how to create a simple floor plan using Excel. For more complex designs, he suggests using graphic programs like PowerPoint, Illustrator, or advanced architectural software. However, for a quick sketch, Excel can be an effective tool. He starts with a blank spreadsheet and explains that the floor plan will be made using Excel's border formatting feature. The first step is to select all cells in the spreadsheet by clicking the area above the row and next to the column labels, which highlights all cells in blue. He will then proceed to use these selected cells to form a rectangular grid for the floor plan outline.