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It is the active cell, the one that is highlighted. This is indicated by a heavier border around it. Pressing F2 will activate Edit mode so that you can type in data to the cell. You will see the cursor flashing when this happens. You usually use the F2 when you want change something that is already in the cell. This is Edit mode. You can also just start typing when there is nothing in the cell already. This is Enter mode.

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