Wrap text in a cell in Excel 2007

When a long text is entered in a cell and you want the text to appear in multiple lines. You achieve this by wrapping the text.
An example for the wrap text will provide good understanding of what it does. Enter the following:
In Cell B2: The text entered in this cell demonstrates what wrap text is all about.
In Cell B3: 123

You will see that the text in cell B2 gets truncated. Click the cell B2 and click Wrap Text from the Home tab.

Next, on the Home tab, in the Cells group, click Format and click AutoFit Row Height.

Output:

Note:
Increase the column width for column header B and see the result.